[House Report 113-320]
[From the U.S. Government Publishing Office]


113th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     113-320

======================================================================



 
    AMENDING THE CLEAN AIR ACT TO REMOVE THE REQUIREMENT FOR DEALER 
             CERTIFICATION OF NEW LIGHT-DUTY MOTOR VEHICLES

                                _______
                                

January 7, 2014.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

  Mr. Upton, from the Committee on Energy and Commerce, submitted the 
                               following

                              R E P O R T

                        [To accompany H.R. 724]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Energy and Commerce, to whom was referred 
the bill (H.R. 724) to amend the Clean Air Act to remove the 
requirement for dealer certification of new light-duty motor 
vehicles, having considered the same, report favorably thereon 
without amendment and recommend that the bill do pass.

                                CONTENTS

                                                                   Page
Purpose and Summary..............................................     2
Background and Need for Legislation..............................     2
Hearings.........................................................     2
Committee Consideration..........................................     2
Committee Votes..................................................     2
Committee Oversight Findings.....................................     2
Statement of General Performance Goals and Objectives............     2
New Budget Authority, Entitlement Authority, and Tax Expenditures     2
Earmark, Limited Tax Benefits, and Limited Tariff Benefits.......     3
Committee Cost Estimate..........................................     3
Congressional Budget Office Estimate.............................     3
Federal Mandates Statement.......................................     3
Duplication of Federal Programs..................................     3
Disclosure of Directed Rule Makings..............................     4
Advisory Committee Statement.....................................     4
Applicability to Legislative Branch..............................     4
Section-by-Section Analysis of the Legislation...................     4
Changes in Existing Law Made by the Bill, as Reported............     4

                          Purpose and Summary

    H.R. 724 strikes section 207(h)(1) of the Clean Air Act (42 
U.S.C. 7541(h)), which requires auto dealers, upon sale of each 
new light-duty motor vehicle, to furnish to the purchaser a 
certificate that such motor vehicle conforms to the emissions 
standards issued pursuant to section 202 (42 U.S.C. 7521) and 
notice of the purchaser's right to have the manufacturer remedy 
any nonconformity to section 202 emissions standards at the 
cost of the manufacturer during the warranty period.

                  Background and Need for Legislation

    The Clean Air Act measures ensuring that all new vehicles 
offered for sale comply with the Act have made the section 
207(h)(1) dealer certificate unnecessary. In addition, the 
warranty information on the certificate is now outdated, and 
current warranty information is available to consumers 
elsewhere. Further, the Environmental Protection Agency no 
longer enforces this requirement. No other provisions of the 
Clean Air Act are changed by H.R. 724.

                                Hearings

    The Committee on Energy and Commerce has not held hearings 
on the legislation.

                        Committee Consideration

    On December 10 and 11, 2013, the Committee on Energy and 
Commerce met in open markup session and ordered H.R. 724 
reported to the House, without amendment, was agreed to by a 
voice vote.

                            Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee to list the record votes 
on the motion to report legislation and amendments thereto. 
There were no rollcall votes taken in connection with ordering 
H.R. 724 reported. A motion by Mr. Upton to order H.R. 724 
reported to the House, without amendment, was agreed to by a 
voice vote.

                      Committee Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee has not held hearings 
on this legislation.

         Statement of General Performance Goals and Objectives

    The goal of the legislation is to remove an unnecessary and 
outdated paperwork requirement applicable to new motor vehicle 
purchases.

   New Budget Authority, Entitlement Authority, and Tax Expenditures

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee finds that H.R. 
724, would result in no new or increased budget authority, 
entitlement authority, or tax expenditures or revenues.

       Earmark, Limited Tax Benefits, and Limited Tariff Benefits

    In compliance with clause 9(e), 9(f), and 9(g) of rule XXI 
of the Rules of the House of Representatives, the Committee 
finds that H.R. 724 contains no earmarks, limited tax benefits, 
or limited tariff benefits.

                        Committee Cost Estimate

    The Committee adopts as its own the cost estimate prepared 
by the Director of the Congressional Budget Office pursuant to 
section 402 of the Congressional Budget Act of 1974.

                  Congressional Budget Office Estimate

    Pursuant to clause 3(c)(3) of rule XIII of the Rules of the 
House of Representatives, the following is the cost estimate 
provided by the Congressional Budget Office pursuant to section 
402 of the Congressional Budget Act of 1974:

H.R. 724--A bill to amend the Clean Air Act to remove the requirement 
        for dealer certification of new light-duty motor vehicles

    H.R. 724 would repeal a requirement under the Clean Air Act 
(CAA) that automobile dealers provide purchasers of new light-
duty motor vehicles with a certificate that indicates the 
vehicle conforms to federal emissions standards. The 
certificate also indicates the purchaser's right to have the 
manufacturer fix the vehicle if it does not comply with 
emission standards.
    According to the Environmental Protection Agency, other 
provisions under the CAA ensure that all new vehicles offered 
for sale comply with the Act. Thus, CBO estimates that 
repealing this requirement would have no impact on the federal 
budget. Enacting H.R. 724 would not affect direct spending or 
revenues; therefore, pay-as-you-go procedures do not apply.
    H.R. 724 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would impose no costs on state, local, or tribal governments.
    The CBO staff contact for this estimate is Susanne S. 
Mehlman. The estimate was approved by Theresa Gullo, Deputy 
Assistant Director for Budget Analysis.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act.

                    Duplication of Federal Programs

    No provision of H.R. 724 establishes or reauthorizes a 
program of the Federal Government known to be duplicative of 
another Federal program, a program that was included in any 
report from the Government Accountability Office to Congress 
pursuant to section 21 of Public Law 111-139, or a program 
related to a program identified in the most recent Catalog of 
Federal Domestic Assistance.

                  Disclosure of Directed Rule Makings

    The Committee estimates that enacting H.R. 724 specifically 
directs to be completed no specific rule makings within the 
meaning of 5 U.S.C. 551.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                  Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act.

             Section-by-Section Analysis of the Legislation

    Section 1 strikes paragraph 1 of section 207(h) of the 
Clean Air Act (42 U.S.C. 7541(h)), which provides that ``[u]pon 
the sale of each new light-duty motor vehicle by a dealer, the 
dealer shall furnish to the purchaser a certificate that such 
motor vehicle conforms to the applicable regulations under 
section 7521 of this title, including notice of the purchaser's 
rights under [this subsection].''
    The section also includes a technical correction, re-
designating current paragraphs (2) and (3) as paragraphs (1) 
and (2), respectively.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

CLEAN AIR ACT

           *       *       *       *       *       *       *



TITLE II--EMISSION STANDARDS FOR MOVING SOURCES

           *       *       *       *       *       *       *



Part A--Motor Vehicle Emission and Fuel Standards

           *       *       *       *       *       *       *



            compliance by vehicles and engines in actual use

  Sec. 207. (a) * * *

           *       *       *       *       *       *       *

  (h)[(1) Upon the sale of each new light-duty motor vehicle by 
a dealer, the dealer shall furnish to the purchaser a 
certificate that such motor vehicle conforms to the applicable 
regulations under section 202, including notice of the 
purchaser's rights under paragraph (2).]
  [(2)] (1) If at any time during the period for which the 
warranty applies under subsection (b), a motor vehicle fails to 
conform to the applicable regulations under section 202 as 
determined under subsection (b) of this section such 
nonconformity shall be remedied by the manufacturer at the cost 
of the manufacturer pursuant to such warranty as provided in 
section 207(b)(2) (without regard to subparagraph (C) thereof).
  [(3)] (2) Nothing in section 209(a) shall be construed to 
prohibit a State from testing, or requiring testing of, a motor 
vehicle after the date of sale of such vehicle to the ultimate 
purchaser (except that no new motor vehicle manufacturer or 
dealer may be required to conduct testing under this 
paragraph).

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