[Federal Register Volume 60, Number 49 (Tuesday, March 14, 1995)]
[Notices]
[Pages 13752-13758]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-6138]
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DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety Administration
[Docket No. EA92-041; Notice 4]
General Motors Pickup Truck Defect Investigation
AGENCY: National Highway Traffic Safety Administration (NHTSA), DOT
ACTION: Notice of closing of investigation.
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SUMMARY: The purpose of this Notice is to announce that Engineering
Analysis (EA) 92-041 has been closed in accordance with the settlement
agreement between the United States Department of Transportation and
General Motors Corporation, dated March 7, 1995 (Attachment A).
Secretary of Transportation Federico Pena announced the parties'
initial agreement to settle the matter and explained the basis for this
Departmental decision in a statement issued December 2, 1994, which is
available as an attachment to the March 9, 1995 memorandum to the
public file for EA92-041 announcing the closing of that investigation.
For procedural reasons, the October 17, 1994 initial decision that the
C/K pickup trucks subject to EA92-041 contain a defect related to motor
vehicle safety is vacated.
FOR FURTHER INFORMATION CONTACT: Ellen Berlin, Director, Office of
Public and Consumer Affairs, NHTSA, 400 Seventh Street, SW.,
Washington, DC 20590; (202) 366-9550.
Authority: 49 U.S.C. 30118; delegations of authority at 49 CFR
1.50(a) and 501.8(g).
Issued on: March 9, 1995.
William A. Boehly,
Associate Administrator for Safety Assurance.
Attachment A--Settlement Agreement Between the United States
Department of Transportation and General Motors Corporation
March 7, 1995.
Settlement Agreement
Whereas, the National Highway Traffic Safety Administration
(NHTSA), an agency of the United States Department of Transportation
(DOT), conducted an investigation (EA92-041) into an alleged defect
related to motor vehicle safety of model year 1970-1991 full-sized
General Motors Corporation (GM) pickup trucks and cab-chassis equipped
with fuel tanks mounted outboard of the frame rails (C/K pickup
trucks); and
Whereas, on October 17, 1994, Secretary of Transportation Federico
Pena announced his initial decision that the C/K pickup trucks contain
a defect related to motor vehicle safety; and
Whereas, no final decision had been made by the Secretary of
Transportation as to whether the C/K pickup trucks contain a defect
related to motor vehicle safety; and
Whereas, DOT and GM each determined that the settlement of the
above-referenced investigation, as memorialized in a letter agreement
dated December 2, 1994, is in the public interest and best furthers
their mutual interest in motor vehicle safety; and
Whereas, DOT and GM agree that this settlement will avoid time-
consuming, costly litigation of a complex matter that raises difficult
factual and legal issues; and instead offers an opportunity for
meaningful cooperation between government and industry to significantly
enhance the safety of the driving public;
Now therefore, the Department of Transportation and General Motors
Corporation hereby agree to the following settlement of this matter:
I. Terms and Conditions
A. Enhance Federal Motor Vehicle Safety Standard (FMVSS) No. 301
1. GM and DOT will support enhancement of the current standard
regarding fuel system integrity, FMVSS 301, through a public rulemaking
process.
a. GM will support the development by DOT, on an expedited basis,
of a revised standard that best simulates the real-world crash
conditions that result in post-crash fires.
b. GM agrees that the current FMVSS 301 standard should be enhanced
to meet today's high pressure fuel system designs and in today's
traffic environment to provide higher levels of occupant protection
from post-crash fires.
c. It is envisioned that the revised standard would employ a more
representative impacting device than the current standard, would
involve higher test speeds (approximately 40 m.p.h.) than the current
standard, and would include separate tests of the integrity of fuel
system components in addition to full vehicle tests at different impact
locations.
2. GM agrees that its support will take the following form:
a. GM will, to the extent legally permissible, take an active part
in the rulemaking process.
b. GM will undertake and/or finance research, including research
described in the other provisions of this agreement, which will further
the development of an enhanced standard.
c. GM will submit to NHTSA's rulemaking docket all research
undertaken or financed in accordance with the other provisions of this
agreement that support the development of an enhanced standard.
3. GM and DOT will work together to improve other Federal motor
vehicle safety standards.
4. None of the provisions in this section A. shall operate to give
GM [[Page 13753]] rights it does not otherwise have under the
Administrative Procedure Act or under any other provision of law, nor
deny or abridge such rights to any other person.
B. Fire Safety Research
1. GM will finance motor vehicle fire safety research, or otherwise
contract to conduct such research. GM agrees to expend at least
$5,000,000 within the two-year period following the effective date of
this agreement for this activity. GM will expend at least an additional
$5,000,000 during the subsequent three years for this activity unless
both NHTSA and GM agree that this activity should no longer be funded.
Research to be conducted shall include, among other possible projects:
(i) Detailed accident analysis and development of new vehicle crash and
component level testing procedures; (ii) testing of materials that
would reduce the risk of fire; and (iii) development of techniques for
preventing, containing and extinguishing vehicle fires. The research
projects shall be undertaken in accordance with paragraph B.2., below.
2. Within 30 days of the effective date of this agreement, GM and
NHTSA representatives will meet, at which time GM will provide NHTSA
with a proposal identifying the facilities to be used and the research
projects to be undertaken during the initial two-year period of
activity. The NHTSA representatives will promptly review GM's proposal
and provide recommendations and comments on it. The NHTSA and GM
representatives will continue to meet and confer as is necessary to
reach agreement on the research projects. Thereafter, the NHTSA and GM
representatives will meet periodically to review the status and
progress of the projects and to consider any proposed modifications to
those projects.
3. Six months prior to the end of the initial two-year period of
activity, GM will submit to NHTSA a description of the projects
proposed to be funded during the subsequent three-year period. The
parties shall then follow the procedures set forth in paragraph B. 2,
above, in reaching agreement as to the projects for the subsequent
period and in monitoring such projects.
4. GM will provide NHTSA with such reports as may reasonably be
required by NHTSA to inform NHTSA of the status, progress, and results
of fire safety research projects conducted under this agreement.
5. All research undertaken pursuant to this provision shall be
submitted to NHTSA and shall be made publicly available. Neither GM nor
any of its contractors or grantees shall be entitled to receive or
retain any proprietary interest in such research.
6. DOT will provide, in its discretion and consistent with
applicable law, available resources to support this project. Such
resources may include, but are not limited to, project reviews,
research on post-crash fire prevention, research related to the FMVSS
No. 301 rulemaking, public information, and other similar activities.
C. Public Education
1. GM agrees to expend at least $11,855,000 within the five-year
period following the effective date of this agreement in the areas of
public education, as generally described herein. GM will expend
approximately one-fifth of this amount each year over the five-year
period. GM, with NHTSA's concurrence, may alter the rate of spending if
doing so would further the goals of this section.
2. Funds shall be spent in the following areas: (i) Support for
enactment, upgrading and/or retention of state legislation for the
enhancement of driver and vehicle safety including, for example,
administrative license revocation laws and blood alcohol content laws
(e.g., .08 BAC laws, zero tolerance laws for youth), and for the
primary enforcement of seat belt laws; (ii) public information and
education materials (including public service announcements) on driver
and vehicle safety (e.g., anti-drinking and driving messages,
encouragement of seat belt usage), particularly in support of
legislative and/or enforcement campaigns and/or to publicize new or
existing laws, and development and distribution of special safety
awareness materials for targeted hard-to-reach populations; and (iii)
support of the Network of Employers for Traffic Safety (NETS) program
and the Techniques for Effective Alcohol Management (TEAM) program.
3. All public information and education materials prepared by, or
under contract to, GM shall be submitted to NHTSA for its comments and
recommendations prior to their issuance. GM will provide NHTSA with a
copy of all such finalized materials.
4. Within 30 days of the effective date of this agreement, GM and
NHTSA representatives will meet, at which time GM will provide NHTSA
with a proposal for the projects and activities to be undertaken by GM
during the first year for purposes of satisfying the requirements of
this section. The NHTSA representatives will promptly review GM's
proposal and provide recommendations and comments on it. The NHTSA and
GM representatives will continue to meet and confer as is necessary to
reach agreement on the projects or activities to be undertaken or
financed. Thereafter, the NHTSA and GM representatives will meet
periodically to review the status and progress of such projects or
activities and to consider any proposed modifications to them.
5. Sixty days prior to the end of the first year period of
activity, and thereafter on an annual basis or on such other basis as
GM and NHTSA mutually shall determine, GM shall submit to NHTSA a
description of the projects and activities to be undertaken during the
following year or other agreed-upon time period. The parties shall then
follow the procedures set forth in paragraph C.4 above in reaching
agreement as to the projects and activities for the subsequent period
and in monitoring such projects and activities.
6. GM will provide NHTSA with such reports as may reasonably be
required by NHTSA to inform NHTSA of the status, progress, and results
of the projects or activities conducted pursuant to this section.
7. GM's commitment to expend these funds is dependent upon DOT's
direct or indirect support, through expenditures, grants to states and/
or other third parties, or otherwise, for public education programs and
activities at approximately equivalent levels. If DOT does not provide
such support, GM and DOT will use their best efforts to discuss, in
good faith, whether and how to redirect GM's commitment of expenditures
to other alternative programs furthering motor vehicle safety to which
DOT is committing funds at equivalent levels.
D. Crash Test Dummy Research and Development
1. GM agrees to expend at least $6,500,000 within the five-year
period following the effective date of this agreement in the area of
research into and development of crash test dummies. GM will expend
approximately one-fifth of this amount each year of the five-year
period. GM, with NHTSA's concurrence, may alter the rate of spending if
doing so would further the goals of this section.
2. Within 30 days of the effective date of this agreement, GM and
NHTSA representatives will meet, at which time GM will provide NHTSA
with a proposal describing the projects and activities to be undertaken
by GM during the first year for purposes of satisfying the requirements
of this section. The NHTSA representatives [[Page 13754]] will promptly
review GM's proposal and provide recommendations and comments on it.
The NHTSA and GM representatives will continue to meet and confer as is
necessary to reach agreement on the projects or activities to be
undertaken. Thereafter, the NHTSA and GM representatives will meet
periodically to review the status and progress of the projects or
activities and to consider any proposed modifications to those
projects.
3. Sixty days prior to the end of the first year period of
activity, and thereafter on an annual basis or on such other basis as
GM and NHTSA mutually shall determine, GM shall submit to NHTSA a
description of the projects and activities to be undertaken during the
following year or other agreed-upon time period. The parties shall then
follow the procedures set forth in paragraph D.2 above in reaching
agreement as to the projects and activities for the subsequent period
and in monitoring such projects and activities.
4. GM will provide NHTSA with such reports as may reasonably be
required by NHTSA to inform NHTSA of the status, progress, and results
of crash dummy research and development projects conducted pursuant to
this agreement.
5. All research undertaken pursuant to this provision shall be
submitted to NHTSA and shall be made publicly available. Neither GM nor
any of its contractors or grantees shall be entitled to receive or
retain any proprietary interest in such research.
6. GM's commitment to expend these funds is dependent upon DOT
supporting crash dummy research at approximately equivalent levels.
Such support may include, but is not limited to grants and contracts,
as well as direct and indirect expenditures, for biomechanical testing,
analytical modeling, dummy component development, and accident data
analyses. If DOT does not provide such support, GM and DOT will use
their best efforts to discuss, in good faith, whether and how to
redirect GM's commitment to other alternative programs furthering motor
vehicle safety to which DOT is committing funds at equivalent levels.
E. Burn & Trauma Research
1. GM agrees to expend at least $5,000,000 within the five-year
period following the effective date of this agreement to further
research relating to the causes and treatment of burns and trauma. GM
shall accomplish this task by means of donations and/or grants to one
or more institutions with experience in burn and/or trauma research.
Institutions selected as recipients of these funds shall use the funds
for specific research projects designed to advance medical science's
understanding and treatment of burn or trauma injuries, particularly
those arising out of motor vehicle accidents. GM will donate
approximately $1,000,000 each year over the five-year period to agreed-
upon projects. GM, with NHTSA's concurrence, may alter the rate of
spending if doing so would further the goals of this section.
2. Within 60 days of the effective date of this agreement, GM and
NHTSA representatives will meet, at which time GM will provide NHTSA
with a proposal identifying the institutions to be selected and the
projects to be undertaken during the first year for purposes of
satisfying the requirements of this section. The NHTSA representatives
will promptly review GM's proposal and provide recommendations and
comments on it. The NHTSA and GM representatives will continue to meet
and confer as is necessary to reach agreement on the institutions to be
selected and the projects to be undertaken. Thereafter, the NHTSA and
GM representatives will meet periodically to review the status and
progress of the projects and to consider any proposed modifications to
those projects.
3. Sixty days prior to the end of the first year period of
activity, and thereafter on an annual basis or on such other basis as
GM and NHTSA mutually shall determine, GM shall submit to NHTSA a
description of the projects and activities to be undertaken during the
following year or other agreed-upon time period. The parties shall then
follow the procedures set forth in paragraph E.2 above in reaching
agreement as to the projects for the subsequent period and in
monitoring such projects.
4. The terms of any donation or grant shall require appropriate
recordkeeping and reporting obligations, including progress reports, by
the recipient institutions sufficient to assure NHTSA and GM that the
funds are being prudently spent for their intended purposes, and that
the objectives of the research program are being realized.
5. GM shall notify NHTSA of each donation or grant made by it and
shall provide NHTSA with an annual summary of its donations under this
provision of the agreement.
6. All research undertaken pursuant to this provision shall be
submitted to NHTSA and shall be made publicly available. Neither GM nor
any of its grantees shall be entitled to receive or retain any
proprietary interest in such research.
F. Computer Modeling
1. GM agrees to expend $2,000,000 within the first year following
the effective date of this agreement in the area of computer-based
design modeling of accident-related injuries arising from fire, trauma,
and exposure to toxic substances. GM agrees to expend an additional
$3,000,000 for these purposes over the subsequent three-year period.
The parties expect that this activity will assist in the development of
more effective crash test dummies.
2. Within 30 days of the effective date of this agreement, GM and
NHTSA representatives will meet, at which time GM will provide NHTSA
with a proposal describing the projects and activities to be undertaken
by GM during the initial one-year period of activity for purposes of
satisfying the requirements of this section. The NHTSA representatives
will promptly review GM's proposal and provide recommendations and
comments on it. The NHTSA and GM representatives will continue to meet
and confer as is necessary to reach agreement on the projects or
activities to be undertaken. Thereafter, the NHTSA and GM
representatives will meet periodically to review the status and
progress of the projects or activities and to consider any proposed
modifications to those projects or activities.
3. Three months prior to the end of the initial one-year period of
activity, GM will submit to NHTSA a description of the projects and
activities proposed to be funded during the subsequent three-year
period. The parties shall then follow the procedures set forth in
paragraph F.2, above, in reaching agreement as to the projects or
activities for the subsequent period and in monitoring such projects or
activities.
4. GM will provide NHTSA with such progress reports as may
reasonably be required by NHTSA to inform NHTSA of the status,
progress, and results of such computer-based design modeling projects
conducted under this agreement.
5. All research undertaken pursuant to this provision shall be
submitted to NHTSA and shall be made publicly available. Neither GM nor
any of its contractors or grantees shall be entitled to receive or
retain any proprietary interest in such research.
6. GM's commitment to expend the $3,000,000 for the latter three-
year period is dependent on DOT, in good faith, supporting these or
similar activities during the latter three-year period. DOT support may
take the form [[Page 13755]] of, but is not limited to, grants and
contracts, as well as direct and indirect expenditures, for computer
modeling for side impact and frontal impact dummies. If DOT does not
provide such support, GM and DOT will use their best efforts to
discuss, in good faith, whether and how to redirect GM's commitment to
other alternative programs furthering motor vehicle safety to which DOT
is committing funds at equivalent levels.
G. Impairment Research
1. GM agrees to expend at least $5,000,000 within the five-year
period following the effective date of this agreement for research into
the areas of driver impairment, including but not limited to (i) the
effects of aging, (ii) the effects of alcohol, and (iii) the effects of
the use of prescription and other lawful drugs. GM will expend
approximately one-fifth of this amount each year of the five-year
period. GM, with NHTSA's concurrence, may alter the rate of spending if
doing so would further the goals of this section.
2. Within 30 days of the effective date of this agreement, GM and
NHTSA representatives will meet, at which time GM will provide NHTSA
with a proposal describing the projects and activities to be undertaken
by GM during the first year for purposes of satisfying the requirements
of this section. The NHTSA representatives will promptly review GM's
proposal and provide recommendations and comments on it. The NHTSA and
GM representatives will continue to meet and confer as is necessary to
reach agreement on the projects or activities to be undertaken.
Thereafter, the NHTSA and GM representatives will meet periodically to
review the status and progress of the projects or activities and to
consider any proposed modifications to those projects or activities.
3. Sixty days prior to the end of the first year period of
activity, and thereafter on an annual basis or on such other basis as
GM and NHTSA mutually shall determine, GM shall submit to NHTSA a
description of the projects and activities to be undertaken during the
following year or other agreed-upon time period. The parties shall then
follow the procedures set forth in paragraph G.2 above in reaching
agreement as to the projects or activities for the subsequent period
and in monitoring such projects or activities.
4. GM will provide NHTSA with such reports as may reasonably be
required by NHTSA to inform NHTSA of the status, progress, and results
of driver impairment research projects conducted under this agreement.
5. All research undertaken pursuant to this provision shall be
submitted to NHTSA and shall be made publicly available. Neither GM nor
any of its contractors or grantees shall be entitled to receive or
retain any proprietary interest in such research.
6. GM's commitment to expend these funds is dependent upon DOT
supporting driver impairment research at approximately equivalent
levels. Such support may include, but is not limited to, grants and
contracts, as well as direct and indirect expenditures, for research,
and other activities which further the development of facilities, tools
or other means to support such research. If DOT does not provide such
support, GM and DOT will use their best efforts to discuss, in good
faith, whether and how to redirect GM's commitment to other alternative
programs furthering motor vehicle safety to which DOT is committing
funds at equivalent levels.
H. Child Safety Seats
1. GM agrees to donate to one or more qualified organizations at
least $4,000,000 for the purchase and distribution of child safety
seats during the first year following the effective date of this
settlement agreement. GM shall donate such funds in the approximate
amount of $1,000,000 during each quarter of that year. GM also agrees
to donate at least $4,000,000 within the subsequent four years to one
or more qualified organizations for the purchase and distribution of
additional child safety seats.
2. DOT shall identify, on an ongoing basis so as to facilitate
timely GM donations, qualified organizations which DOT in its sole
discretion deems appropriate to receive donations from GM for the
purchase and distribution of child safety seats. GM, in its sole
discretion, shall select from the list of qualified organizations
provided by DOT, the organization(s) to which it will donate funds, and
shall decide the exact amount of funds that each such organization will
receive.
3. In order to be identified by DOT as a qualified organization, an
organization shall certify to DOT in writing that it shall: (i) Work,
through its state or local affiliates, with agencies such as children's
hospitals and health agencies to identify families who could not
otherwise afford seats or who have special needs; (ii) have an existing
loaner or give-away child safety seat program or have staff trained in
child passenger safety issues; (iii) distribute the seats to low-income
families and/or families with special needs across a broad geographical
area throughout the United States; (iv) comply with NHTSA guidelines
with respect to the approximate mix of child safety seats (e.g.,
infant, toddler, booster, special needs); (v) distribute all of the
seats purchased with the funds provided by GM to the local agencies
within 120 days of the receipt of the funds; (vi) educate recipients of
the seats as to methods of proper installation and use; (vii) not use
more than 10 percent of the funds provided by GM for administrative
expenses related to distribution of the seats; (viii) add the GM-
provided funds to the total of its existing funds spent on the
distribution of child safety seats to low-income families and not
divert any funds currently budgeted to such activities to other
activities; (ix) allow the activities conducted pursuant to this
provision to be audited by such third party as selected by DOT; (x)
acknowledge and agree that such commitments and promises shall be
enforceable; and (xi) acknowledge and agree that GM does not assume or
bear any responsibility for the organization's commitments, the
selection of the safety seats actually purchased or distributed, or the
education of recipients of the seats as to proper use.
4. GM's commitment to donate the second $4,000,000 of funds during
the subsequent four-year period is dependent upon DOT's expenditure of
funds for the development and support of child safety seat loaner and
give-away programs during that period. If DOT makes such expenditures,
GM shall donate funds in accordance with this section at equivalent
levels as DOT until such time as GM's total $8,000,000 commitment is
fulfilled. If DOT does not make such expenditures, DOT and GM will use
their best efforts to discuss, in good faith, whether and how to
redirect GM's commitment to other alternative programs furthering motor
vehicle safety to which DOT is committing funds at equivalent levels.
Costs and expenses attributable to DOT's efforts in identifying
qualified organizations shall not count as part of DOT's expenditure of
funds for purposes of this section.
I. Dismissal of Lawsuit
Within five days after the execution of this final settlement
agreement, GM will dismiss General Motors Corporation v. Pena, C.A. No.
94-75668 E.D. Mich. (filed Nov. 17, 1994) by filing a notice of
dismissal in the form attached as Exhibit A.
J. Pending Investigation
1. Within five days after the execution of this final settlement
agreement, DOT [[Page 13756]] will close its investigation into whether
the GM C/K pickup trucks contain a defect related to motor vehicle
safety (EA 92-041). DOT will not, in connection with that
investigation, seek to have GM, either voluntarily or involuntarily,
recall or take other field action with respect to the C/K pickup
trucks.
2. The initial decision of October 17, 1994, was not a final
decision or final finding of a defect and was subject to further review
by DOT. DOT will not reach a final decision in this matter as to
whether the GM C/K pickup trucks contain a defect related to motor
vehicle safety. For procedural reasons, the initial decision will be
vacated within five days after the execution of this final settlement
agreement. Within five days after the execution of this agreement, DOT
will publish in the Federal Register and place in the public file for
EA92-041 a closing memo indicating DOT's reasons for entering into this
agreement and containing notice of vacation of DOT's initial decision
in the matter.
II. Reporting and Recordkeeping
A. GM will certify its compliance with the terms and conditions of
this settlement agreement (including without limitation the requirement
that all expenditures shall be ``new'' as defined in section III.E
below), shall maintain such records as are necessary to demonstrate its
compliance, and shall make such records available as may be reasonably
required by DOT.
B. In addition to the requirements contained in the above
provisions, GM will provide annual reports to NHTSA within 30 days
following the end of each one- year period after the effective date of
this agreement, until the terms of the agreement are satisfied,
describing how GM is meeting its commitments and obligations under this
agreement. Each annual report shall contain information relating to the
nature and levels of expenditures for all projects undertaken pursuant
to this settlement agreement, including the methodology for computing
the value of GM's contributions.
C. Upon request, DOT will make available to GM information to
confirm that DOT has provided support to certain projects as specified
in Part I of this settlement agreement.
III. General Provisions
A. This agreement contains the entire agreement between the parties
regarding the subject matter. There are no promises, agreements,
conditions, undertakings, warranties or representations oral or
written, express or implied, between them relating to this subject
matter, other than as herein set forth. This agreement is intended by
the parties to be an integration of all prior or contemporaneous
promises, agreements, conditions, negotiations and undertakings between
them.
B. This agreement may not be modified or amended except by an
agreement in writing, signed by the parties.
C. This settlement agreement, and any amendments or modifications
thereto, shall conform to and be carried out in accordance with all
applicable laws and regulations. GM and DOT shall work in good faith to
ensure that any amendments or modifications reflect consistency with
these principles. If any portion of this agreement or any amendment or
modification is not consistent with applicable laws and regulations,
that portion shall be severable and the parties shall work in good
faith to restructure that portion of the agreement consistent with the
parties' original intent. The remainder of this agreement and any
amendment or modification shall continue to be binding on the parties.
D. The headings in the agreement are for convenience only, and
shall not limit or otherwise affect or describe the scope or intent of
any of the terms hereof or of any particular section thereof. Any
references to ``NHTSA'' in this agreement shall mean the National
Highway Traffic Safety Administration or its successor(s).
E. GM's financial obligations hereunder shall represent, in all
instances, new expenditures not heretofore provided for in any approved
GM budget or otherwise planned (prior to the execution of the parties'
December 2, 1994 letter agreement) to be undertaken by GM during the
period of this settlement agreement. Annually repeated expenditures,
e.g., annual contributions to charities or lobbying organizations, made
or committed to by GM prior to the execution of the parties' December
2, 1994, letter agreement, shall not count as new expenditures except
those portions, if any, of such expenditures that are over and above
such annually repeated expenditure amounts.
F. Research reports submitted to NHTSA by or on behalf of GM and
made publicly available pursuant to this agreement may, consistent with
applicable law, identify GM as a source or sponsor of the report by
stating that the report was financed, produced, or prepared, as
applicable, ``by GM pursuant to an agreement between GM and the U.S.
Department of Transportation.'' Public education materials produced or
distributed by a third party (e.g., lobbying organization, AD Council,
state or local government agency) pursuant to this agreement shall,
absent legal prohibition to the contrary, contain a source
identification which identifies such third party as the source of the
materials in question. Public education materials produced and
distributed directly by GM pursuant to this agreement may contain a
source identification, assuming no other appropriate third party source
exists, which states discretely, ``Brought to you, produced, or
sponsored by the U.S. Department of Transportation and General Motors
Corporation pursuant to an agreement between the parties.''
G. For the projects and activities encompassed by this agreement,
GM's expenditures may be made, where appropriate, in the form of a
combination of money, facilities, human resources, salaries, and other
things directly related to the performance of such projects and
activities and valued according to generally accepted accounting
principles. However, GM's expenditures may not include general and
administrative expenses attributable to GM corporate activities not
directly related to the projects and activities conducted under this
agreement; nor may GM's expenditures include indirect costs, such as
depreciation of facilities and equipment, amortization of intangible
rights, and insurance of all types, not directly related to the
projects and activities conducted under this agreement. Furthermore,
costs and expenses attributed to the development of GM's proposals
pursuant to paragraphs B.2, B.3, C.4, C.5, D.2, D.3, E.2, E.3, F.2,
F.3, G.2, and G.3 of Part I of this settlement agreement shall not be
used by GM to fulfill its financial commitments.
H. This settlement agreement reflects the parties' desire to fully
and completely settle the current investigation by DOT into an alleged
defect of 1970-91 full-sized GM pickup trucks. Nonetheless, DOT
reserves the right at any time, based on new information, to open a new
defect investigation with respect to whether the GM C/K pickup trucks
contain defect(s) related to motor vehicle safety. Nothing in this
agreement shall nullify any obligation the Secretary may have under law
to consider new evidence that was not part of the administrative record
in this case. If a subsequent defect investigation involving the same
alleged safety defect in the C/K trucks is opened, any unfulfilled
commitments by GM under this agreement shall become null and void and
GM shall not be deemed to have waived, by reason of [[Page 13757]] the
execution of this agreement, any defense to or argument against any
action by NHTSA, DOT or the Secretary.
I. The provisions regarding the redirection of funds, which appear
in paragraphs C.7, D.6, F.6, G.6, and H.4 of Part I of this agreement,
are intended by GM and DOT to require both parties to act in good faith
to consider alternative programs of mutual interest in motor vehicle
safety to which the funds may be redirected and to reflect a strong
presumption that the funds in question will be redirected to such
alternative programs.
J. In attempting to reach agreement on the projects or activities
to be undertaken or financed by GM pursuant to sections C, D, F, and G
of Part I of this agreement, the parties shall meet and confer in the
utmost good faith and NHTSA shall not unreasonably withhold its
agreement to a GM proposal that falls within the applicable description
of activities and otherwise reasonably furthers the goals of the
section in question.
K. All questions with respect to the construction of this agreement
and the rights and liabilities of the parties shall be determined in
accordance with the laws of the United States.
L. GM and DOT agree that this settlement agreement shall constitute
a binding and enforceable contractual agreement upon GM and DOT and any
successor corporations or agencies. In the event of a breach of this
agreement, either party may institute a civil action in the United
States District Court for the District of Columbia to enforce the terms
of this agreement or to seek other appropriate relief.
M. By entering into this settlement agreement, neither GM nor DOT
concedes the validity of each other's claims or defenses, and nothing
in this settlement agreement shall constitute an admission by either
party concerning its claims or defenses.
N. This settlement agreement is entered into solely for the
purposes of settling the matters described herein and shall not confer
any rights or benefits upon persons who are not parties to this
agreement.
IV. Effective Date
The effective date of this agreement shall be March 7, 1995.
Agreed to by:
Dated: March 6, 1995.
John F. Smith,
Chief Executive Officer and President, General Motors Corporation.
Dated: March 7, 1995.
Federico Pena,
Secretary, Department of Transportation.
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[FR Doc. 95-6138 Filed 3-10-95; 8:45 am]
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