[Federal Register Volume 61, Number 93 (Monday, May 13, 1996)]
[Proposed Rules]
[Pages 22010-22014]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-11720]



=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

49 CFR Part 537

[Docket No. 96-38, Notice 01]
RIN 2127-AG00


Automotive Fuel Economy; Semi-Annual Reports

AGENCY: National Highway Traffic Safety Administration (NHTSA), 
Department of Transportation.

ACTION: Notice of proposed rulemaking.

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

SUMMARY: This notice proposes various revisions to the required form 
and contents of the semi-annual reports which automobile manufacturers 
are statutorily required to submit under the Federal automotive fuel 
economy program. It is intended that these revisions will reduce the 
paperwork burdens imposed on manufacturers without inhibiting the 
agency's ability to comply with its statutory requirements. NHTSA 
undertakes this action as part of its effort to implement the 
President's Regulatory Reinvention Initiative to make regulations 
easier to understand and apply.

ADDRESSES: Comments should refer to the docket and notice number set 
forth above and be submitted to: Docket

[[Page 22011]]

Section, Room 5109, National Highway Traffic Safety Administration, 400 
Seventh Street, SW, Washington, D.C. 20590.

DATES: Comments on this notice must be received by July 12, 1996. The 
final rule would apply to reports submitted for model years beginning 
after publication of the final rule.

FOR FURTHER INFORMATION CONTACT: Alan Berkowitz, Office of Planning and 
Consumer Programs, Safety Performance Standards, NHTSA, 400 7th St., 
SW., Washington DC 20590. Telephone: (202) 366-4795.

SUPPLEMENTARY INFORMATION:

President's Regulatory Reinvention Initiative

    Pursuant to the March 4, 1995, directive ``Regulatory Reinvention 
Initiative'' from the President to the heads of departments and 
agencies, NHTSA undertook a review of its regulations and directives. 
During the course of this review, the agency identified rules that it 
could propose to eliminate as unnecessary or to amend to improve their 
comprehensibility, usefulness, and appropriateness. NHTSA has 
identified the Semi-Annual Reports for Automotive Fuel Economy as a 
candidate for review.

Background

    Section 32907 of Chapter 329 of Title 49 of the U.S. Code (49 
U.S.C. 32901 et seq.) requires each automobile manufacturer (other than 
those small manufacturers which have been granted an alternative fuel 
economy standard under section 32902(d)) to submit semi-annual reports 
to the agency relating to that manufacturers' efforts to comply with 
average fuel economy standards. One report is due during the 30-day 
period preceding the beginning of each model year (the ``pre-model year 
report'') and the other is due during the 30-day period beginning on 
the 180th day of the model year (the ``mid-model year report'').
    Since the various manufacturers have different annual production 
periods, the agency determined in 42 FR 62374 (December 12, 1977) that 
there was no single model year designation applicable to all companies. 
Therefore, in accordance with section 32901(a)(15) of Chapter 329, the 
agency determined that the calendar year should serve as the ``model 
year'' for purposes of section 32907, making the pre-model year report 
for any year due in December of the prior year and the mid-model year 
report for any year due in July of that year. For the major domestic 
manufacturers, this means that the pre-model year report is submitted 
well into their actual production period and the mid-model year report 
is due near the end of that period.
    Section 32907(a)(1) of Chapter 329 provides that each report must 
contain a statement as to whether the manufacturer will comply with 
average fuel economy standards for that year, a plan describing the 
steps the manufacturer has taken or will take to comply with the 
standards, and any other information the agency may require. Whenever a 
manufacturer determines that a plan it has submitted in one of its 
reports is no longer adequate to assure compliance, it must submit a 
revised plan. Section 32907(a)(1)(C) of Chapter 329 also permits the 
agency to issue rules prescribing the form and content of reports.

Proposed Revisions

    The revised text for 49 CFR Part 537 presented in this notice 
proposes to reduce the amount of detailed specification data required 
of manufacturers in their reports to the agency. Specifically, the 
agency is asking for data to be consolidated at the model level instead 
of the configuration level. This would reduce the volume of information 
that must be submitted. The proposed revision provides the data in a 
form that more closely matches the format of information that the 
agency uses in analyzing the manufacturers' fleets for purposes of its 
annual report to the Congress and special reports and studies of fuel 
economy standards. The format of the report is revised to delete some 
items that the agency has not used in recent years, i.e., engine code, 
emission control system, existence of overdrive, axle ratio, existence 
of temporary living quarters, expansion of cargo carrying capacity by 
removal of seats, and frontal area.
    The proposed text also changes the time of submission of the 
detailed specification information from the pre-model year report to 
the mid-model year report. This will result in the manufacturers 
providing more complete and correct data as the data will be assembled 
near the end of the typical production period for each model. The data 
will still be provided to the agency in time for incorporation in the 
annual report to the Congress.
    Finally, the text description for supplementary reports 
(Sec. 537.8) is deleted. Manufacturers have not been furnishing this 
report to the agency, nor has the agency been requesting it. Its 
purpose, to explain how a fleet that is below the average fuel economy 
standard will be brought into compliance, can be fulfilled by the 
addition of an appropriate statement in either the pre- model year or 
mid-model year report. Some manufacturers currently use this procedure. 
That statement is specified in the revised text in Sec. 537.7(b)(4).

Impact Analyses

1. Economic Impacts

    This notice of proposed rulemaking (NPRM) was not reviewed under 
Executive Order 12866 (Regulatory Planning and Review). NHTSA has 
analyzed the impact of this request for comment and determined that it 
is not ``significant'' within the meaning of the Department of 
Transportation's regulatory policies and procedures. The agency 
anticipates, if a final rule should result from this NPRM, new 
requirements would not be imposed on manufacturers.

2. Impacts on Small Entities

    Pursuant to the Regulatory Flexibility Act, the agency has 
considered the impact this rulemaking would have on small entities. 
Few, if any, automobile manufacturers subject to the proposed rule 
would be classified as a ``small business'' under the Regulatory 
Flexibility Act. I certify that this action would not have a 
significant economic impact on a substantial number of small entities.

3. Impact of Federalism

    This action has been analyzed in accordance with the principles and 
criteria contained in Executive Order 12612, and it has been determined 
that the proposed rule would not have sufficient Federalism 
implications to warrant the preparation of a Federalism Assessment.

4. Paperwork Reduction Act

    Information collection requirements contained in this NPRM 
represent an amendment to those approved by the Office of Management 
and Budget under the provisions of the Paperwork Reduction Act (Pub. L. 
96-511) and assigned OMB Control Number 2127-0019. The agency believes 
that the changes proposed in this notice will result in a small 
reduction in the paperwork burden of this reporting requirement. The 
agency solicits comment on the expected change in paperwork burden that 
this proposal would entail.

5. National Environmental Policy Act

    The agency has analyzed this rule for the purpose of the National 
Environmental Policy Act and determined that it would not have any

[[Page 22012]]

significant impact on the quality of the human environment.

6. Civil Justice Reform

    This proposed rule would not have any retroactive effect and it 
does not preempt any State law. 49 U.S.C. 32909 sets forth a procedure 
for judicial review of automobile fuel economy regulations. That 
section does not require submission of a petition for reconsideration 
or other administrative proceedings before parties may file suit in 
court.

Comments

    NHTSA is providing a comment period, ending on July 12, 1996 for 
interested parties to present data and views on the issues raised in 
this notice, as well as any other issues commenters believe are 
relevant to this proceeding. It is requested but not required that 10 
copies be submitted.
    Comments must not exceed 15 pages in length (49 CFR 553.21). 
Necessary attachments may be appended to these submissions without 
regard to the 15-page limit. This limitation is intended to encourage 
commenters to detail their primary arguments in a concise fashion.
    If a commenter wishes to submit certain information under claim of 
confidentiality, three copies of the complete submission, including 
purportedly confidential business information, should be submitted to 
the Chief counsel, NHTSA, at the street address given above, and seven 
copies from which the purportedly confidential information has been 
deleted should be submitted to the Docket Section. A request for 
confidentiality should be accompanied by a cover letter setting forth 
the information specified in the agency's confidential business 
information regulation. 49 CFR part 512.
    All comments received before the close of business on the comment 
closing date indicated above for the proposal will be considered, and 
will be available for examination in the docket at the above address 
both before and after that date. To the extent possible, comments filed 
after the closing date will also be considered. Comments received too 
late for consideration in regard to the final rule will be considered 
as suggestions for further rulemaking action. Comments on the proposal 
will be available for inspection in the docket. NHTSA will continue to 
file relevant information as it becomes available in the docket after 
the closing date, and it is recommended that interested persons 
continue to examine the docket for new material.
    Those persons desiring to be notified upon receipt of their 
comments in the rules docket should enclose a self-addressed, stamped 
postcard with their comments. Upon receiving the comments, the docket 
supervisor will return the postcard by mail.

List of Subjects in 49 CFR Part 537

    Fuel economy, Reporting and recordkeeping requirements.

    In consideration of the foregoing, 49 CFR Part 537 would be revised 
to read as follows:

PART 537--AUTOMOTIVE FUEL ECONOMY REPORTS

Sec.
537.1   Scope.
537.2   Purpose.
537.3   Applicability.
537.4   Definitions.
537.5   General requirements for reports.
537.6   General content of reports.
537.7   Pre-model year and mid-model year reports.
537.8   [Reserved].
537.9   Determination of fuel economy values and average fuel 
economy.
537.10   Incorporation by reference.
537.11   Public Inspection of Information.
537.12   Confidential Information.

    Authority: 49 U.S.C. 32907; 49 CFR 1.50.


Sec. 537.1   Scope.

    This part establishes requirements for automobile manufacturers to 
submit reports to the National Highway Traffic Safety Administration 
regarding their efforts to improve automotive fuel economy.


Sec. 537.2   Purpose.

    The purpose of this part is to obtain information to aid the 
National Highway Traffic Safety Administration in valuating automobile 
manufacturers' plans for complying with average fuel economy standards 
and in preparing an annual review of the average fuel economy 
standards.


Sec. 537.3   Applicability.

    This part applies to automobile manufacturers, except for 
manufacturers subject to an alternate fuel economy standard under 49 
U.S.C. 32902(d).


Sec. 537.4   Definitions.

    (a) Statutory terms. (1) The terms average fuel economy standard, 
fuel, manufacture, and model year are used as defined in 49 U.S.C. 
32901.
    (2) The term manufacturer is used as defined in 49 U.S.C. 32901 and 
in accordance with Part 529 of this chapter.
    (3) The terms average fuel economy, fuel economy, and model type 
are used as defined in Subpart A of 40 CFR Part 600.
    (4) The terms automobile, automobile capable of off-highway 
operation, and passenger automobile are used as defined in 49 U.S.C. 
32901 and in accordance with the determinations in Part 523 of this 
chapter.
    (b) Other terms. (1) The term loaded vehicle weight is used as 
defined in Subpart A of 40 CFR Part 86.
    (2) The terms base level, body style, car line, combined fuel 
economy, equivalent test weight, inertia weight, transmission class, 
and vehicle configuration are used as defined in Subpart A of 40 CFR 
Part 600.
    (3) The term light truck is used as defined in Part 523 of this 
chapter and in accordance with determinations in that part.
    (4) The terms approach angle, axle clearance, breakover angle, 
cargo-carrying volume, departure angle, passenger-carrying volume, and 
running clearance are used as defined in Part 523 of this chapter.
    (5) The term incomplete automobile manufacturer is used as defined 
in Part 529 of this chapter.
    (6) As used in this part, unless otherwise required by the context:
    (i) Administrator means the Administrator of the National Highway 
Traffic Safety Administration or the Administrator's delegate.
    (ii) Current model year means:
    (A) In the case of a pre-model year report, the full model year 
immediately following the period during which that report is required 
by 537.5(b) to be submitted.
    (B) In the case of a mid-model year report, the model year during 
which that report is required by 537.5(b) to be submitted.
    (iii) Average means a production weighted harmonic average.
    (iv) Total drive ratio means the ratio of an automobile's engine 
rotational speed (in revolutions per minute) to the automobile's 
forward speed (in miles per hour).


Sec. 537.5  General requirements for reports.

    (a) For each current model year, each manufacturer shall submit a 
pre-model year report and a mid-model year report.
    (b)(1) The pre-model year report required by this part for each 
current model year must be submitted during the month of December 
(e.g., the pre-model year report for the 1997 model year must be 
submitted during December, 1996).
    (2) The mid-model year report required by this part for each 
current model year must be submitted during the month of July (e.g., 
the mid-model year report for the 1997 model year must be submitted 
during July 1997).
    (c) Each report required by this part must:

[[Page 22013]]

    (1) Identify the report as a pre-model year report or mid-model 
year report;
    (2) Identify the manufacturer submitting the report;
    (3) State the full name, title, and address of the official 
responsible for preparing the report;
    (4) Be submitted in 10 copies to: Administrator, National Highway 
Traffic Safety Administration, 400 Seventh Street SW., Washington, DC 
20590;
    (5) Identify the current model year;
    (6) Be written in the English language; and
    (7)(i) Specify any part of the information or data in the report 
that the manufacturer believes should be with held from public 
disclosure as trade secret or other confidential business information.
    (ii) With respect to each item of information or data requested by 
the manufacturer to be withheld under 5 U.S.C. 552(b)(4) and 15 U.S.C. 
2005(d)(1), the manufacturer shall:
    (A) Show that the item is within the scope of sections 552(b)(4) 
and 2005(d)(1);
    (B) Show that disclosure of the item would result in significant 
competitive damage;
    (C) Specify the period during which the item must be withheld to 
avoid that damage; and
    (D) Show that earlier disclosure would result in that damage.
    (d) Each report required by this part must be based upon all 
information and data available to the manufacturer 30 days before the 
report is submitted to the Administrator.


Sec. 537.6  General content of reports.

    (a) Pre-model year and mid-model year reports. Except as provided 
in paragraph (b) of this section, each pre-model year report and the 
mid-model year report for each model year must contain the information 
required by 537.7(a).
    (b) Exceptions. The pre-model year report and the mid-model year 
report submitted by an incomplete automobile manufacturer for any model 
year are not required to contain the information specified in 537.7 
(c)(4)(xix) (A) and (B)(1), (3), and (4) and (c)(5). The information 
provided by the incomplete automobile manufacturer under 537.7(c) shall 
be according to base level instead of model type or car line.


Sec. 537.7  Pre-model year and mid-model year reports.

    Each manufacturer submitting a report shall:
    (a)(1) Provide the information required by paragraphs (b) and (c) 
of this section for the manufacturer's passenger automobiles for the 
current model year.
    (2) After providing the information required by paragraph (a)(1) of 
this section provide the information required by paragraphs (b) and (c) 
of this section for the manufacturer's light trucks for the current 
model year.
    (b) Projected average Fuel economy. (1) State the projected average 
fuel economy for the manufacturer's automobiles determined in 
accordance with 537.9 and based upon the fuel economy values and 
projected sales figures provided under paragraph (c)(2) of this 
section.
    (2) State the projected final average fuel economy that the 
manufacturer anticipates having if changes implemented during the model 
year will cause that average to be different from the average fuel 
economy projected under paragraph (b)(1) of this section.
    (3) State whether the manufacturer believes that the projection it 
provides under paragraph (b)(2) of this section, or if it does not 
provide an average under that paragraph, the projection it provides 
under paragraph (b)(1) of this section sufficiently represents the 
manufacturer's average fuel economy for the current model year for the 
purposes of the statute. In the case of a manufacturer that believes 
that the projection is not sufficiently representative for those 
purposes, state the reason for the insufficiency and the specific 
additional testing or derivation of fuel economy values by analytical 
methods believed by the manufacturer necessary to eliminate the 
insufficiency and any plans of the manufacturer to undertake that 
testing or derivation voluntarily and submit the resulting data to the 
Environmental Protection Agency under 40 CFR 600.509.
    (4) If the projected average fuel economy provided under section 
(b)(1) or (b)(2) of this section does not comply with the applicable 
average fuel economy standard, state what actions the manufacturer has 
taken or intends to take to comply with the standard and whether those 
actions are sufficient to ensure compliance.
    (c) Model type fuel economy and technical information. (1) For each 
model type of the manufacturer's automobiles, provide the information 
specified in paragraph (c)(2) of this section in tabular form. List the 
model types in order of increasing equivalent test weight from top to 
bottom down the left side of the table and list the information 
categories in the order specified in paragraph (c)(2) of this section 
from left to right across the top of the table.
    (2)(i) Combined fuel economy for each model type and CAFE for the 
fleet; and (ii) Projected production for the current model year and 
total production of all model types.
    (3) (Mid-model report only.) For each model type provide the 
information specified in paragraph (c)(4) at this section either in 
tabular form or preferably as a database formatted computer disk. If a 
tabular form is used then list the vehicle model types in the order 
listed under paragraph (c)(2) of this section from top to bottom down 
the left of the table and list the information categories across the 
top of the table from left to right in the order specified in paragraph 
(c)(4) of this section. Other formats (such as copies of EPA reports), 
which contain all the required information in a readily identifiable 
form, are also acceptable. If a computer disk is used, any NHTSA 
approved database structure may be used, but each model type record 
should identify the manufacturer, model type, and for light trucks the 
drive wheel code, e.g. 2- or 4- wheel drive. At least the information 
categories specified here and in paragraph (c)(4) must be provided, but 
if preferred, the disk may contain any additional categories. Each 
computer disk record must contain all the required categories of 
information to enable direct reading and interpretation in the database 
format that was approved. Parameters that vary within the model type 
(e.g., loaded vehicle weight) should be weighted by the production 
share of each distinct value.
    (4)(i) Loaded vehicle weight;
    (ii) Equivalent test weight;
    (iii) Engine displacement, liters;
    (iv) Number of engine cylinders;
    (v) SAE net rated power, kilowatts;
    (vi) Type of fuel injection;
    (vii) Transmission class;
    (viii) Number of forward speeds;
    (ix) Total drive ratio (N/V);
    (x) Combined fuel economy, mpg;
    (xi) Projected production for the current model year;
    (xii) Road load power at 50 miles per hour;
    (xiii) (A) In the case of passenger automobiles:
    (1) Interior volume index, determined in accordance with Subpart D 
of 40 CFR Part 600, and
    (2) Body style;
    (B) In the case of light trucks:
    (1) Passenger-carrying volume; and
    (2) Cargo-carrying volume.
    (5) For each model type of automobile which is classified as an 
automobile capable of off-highway operation under Part 523 of this 
chapter, provide the following data:

[[Page 22014]]

    (i) Approach angle;
    (ii) Departure angle;
    (iii) Breakover angle;
    (iv) Axle clearance;
    (v) Minimum running clearance; and
    (vi) Existence of 4-wheel drive (indicate yes or no).
    (6) The fuel economy values provided under paragraphs (c) (2) and 
(4) of this section shall be determined in accordance with Sec. 537.9.


Sec. 537.8   [Reserved]


Sec. 537.9   Determination of fuel economy values and average fuel 
economy.

    (a) Base level and model type fuel economy values. For each base 
level and model type, the manufacturer shall submit a fuel economy 
value based on the vehicle configuration values that have been 
determined and approved under 40 CFR part 600, or, if such a value does 
not exist, a value based on a comparable test or analysis, and 
calculated in the same manner as base level and model type fuel economy 
values are calculated for use under Subpart F of 40 CFR part 600.
    (b) Average fuel economy. Average fuel economy must be based upon 
fuel economy values calculated under paragraph (a) of this section for 
each model type and must be calculated in accordance with 40 CFR 
600.506, using the configurations specified in 40 CFR 600.506(a)(2), 
except that fuel economy values for running changes and for new base 
levels are required only for those changes made or base levels added 
before the average fuel economy is required to be submitted under this 
part.


Sec. 537.10   Incorporation by reference.

    (a) A manufacturer may incorporate by reference in a report 
required by this part any document other than a report, petition, or 
application, or portion thereof submitted to any Federal department or 
agency more than two model years before the current model year.
    (b) A manufacturer that incorporates by references a document not 
previously submitted to the National Highway Traffic Safety 
Administration shall append that document to the report.
    (c) A manufacturer that incorporates by reference a document shall 
clearly identify the document and, in the case of a document previously 
submitted to the National Highway Traffic Safety Administration, 
indicate the date on which and the person by whom the document was 
submitted to this agency.


Sec. 537.11   Public inspection of information.

    Except as provided in Sec. 537.12, any person may inspect the 
information and data submitted by a manufacturer under this part in the 
docket section of the National Highway Traffic Safety Administration. 
Any person may obtain copies of the information available for 
inspection under this section in accordance with the regulations of the 
Secretary of Transportation in Part 7 of this title.


Sec. 537.12   Confidential information.

    (a) Information made available under Sec. 537.11 for public 
inspection does not include information for which confidentiality is 
requested under Sec. 537.5(c)(7), is granted in accordance with section 
32910(c) of Chapter 329 and section 552(b) of Title 5 of the United 
States Code, and is not subsequently released under paragraph (c) of 
this section in accordance with section 32910 of Chapter 329.
    (b) Denial of confidential treatment. When the Administrator denies 
a manufacturer's request under Sec. 537.5(c)(7) for confidential 
treatment of information, the Administrator gives the manufacturer 
written notice of the denial and reasons for it. Public disclosures of 
the information is not made until after the ten-day period immediately 
following the giving of the notice.
    (c) Release of confidential information. After giving written 
notice to a manufacturer and allowing ten days, when feasible, for the 
manufacturer to respond, the Administrator may make available for 
public inspection any information submitted under this part that is 
relevant to a proceeding under the Act, including information that was 
granted confidential treatment by the Administrator pursuant to a 
request by the manufacturer under Sec. 537.5(c)(7).

    Issued on: May 7, 1996.
Barry Felrice,
Associate Administrator for Safety Performance Standards.
[FR Doc. 96-11720 Filed 5-10-96; 8:45 am]
BILLING CODE 4910-59-P