[Federal Register Volume 63, Number 212 (Tuesday, November 3, 1998)]
[Notices]
[Pages 59330-59331]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-29405]


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DEPARTMENT OF JUSTICE


Notice of Filing of Consent Decree Under the Clean Air Act

    Under 28 C.F.R. 50.7, notice is hereby given that on October 22, 
1998, a proposed Consent Decree (exception two appendices which will be 
the subject of a motion for leave to file under seal) in United States 
v. Caterpillar, Inc., Civil Action No. 98-2544 (HHK), was filed with 
the United States District Court for the District of Columbia. At the 
same time, (1) Caterpillar, Inc. (``Caterpillar'') and the California 
Air Resources Board (``CARB'') have concluded a related settlement 
agreement that resolves California claims similar to the federal claims 
addressed by this proposed Consent Decree; and (2) the United States 
filed similar settlements with six other manufacturers of motor vehicle 
diesel engines, notice of which is also being published at this time.
    The United States has asserted in a civil complaint against 
Caterpillar under the Clean Air Act, as amended 42 U.S.C. 7401 et seq. 
(``the Act''), that Caterpillar sold, offered for sale, or introduced 
or delivered for introduction into commerce, certain heavy duty diesel 
engines that are equipped with computer software that alters fuel 
injection timing when the engines are in actual use, relative to the 
fuel injection timing used to control emissions of oxides of nitrogen 
(``NOX'') on the emissions test (the Federal Test Procedure 
or ``FTP'') required by U.S. Environmental Protection Agency (``EPA'') 
regulations for the sale of motor vehicle engines in the United States. 
The United States alleges in its complaint that these computer 
strategies have an adverse effect on the engines' emission control 
system for NOX, that they were not adequately disclosed to 
EPA, that they are emission-control defeat devices prohibited under the 
Act, and that these engines are not covered by an EPA Certificate of 
Conformity, as required by the Act for motor vehicle engines to be sold 
in the United States.
    Under the proposed Consent Decree, Caterpillar has agreed to 
resolve the United States' claims by, among other things:
    (1) Reducing emissions from heavy duty diesel engines and 
eliminating the strategies of concern in future production, in 
accordance with the schedule set forth in the proposed Decree. This 
includes a substantial reduction in emissions by the end of this year, 
and a requirement that Caterpillar achieve early compliance (by October 
1, 2002) with the more stringent NOX plus nonmethane 
hydrocarbon emission standard that would otherwise not apply (under 
current law) until January 1, 2004;
    (2) Meeting Consent Decree emission limits both on the FTP and on a 
supplemental test called the EURO III test, which measures emissions 
under steady state conditions;
    (3) Meeting ``emission surface limits'' and ``not-to-exceed'' 
limits that impose specific emissions limits in real-world operating 
conditions;
    (4) Addressing emissions from engines previously sold and currently 
in use by developing and supplying dealers and independent rebuilders 
with Low NOX Rebuild Kits, which would be used by engine 
rebuilders at the time of rebuild, and would reduce NOX 
emissions in rebuilt engines; and
    (5) Meeting certain emission limits for nonroad engines one year 
earlier than the law engines;
    As additional injunctive relief Caterpillar also will spend up to 
$35 million to fund projects approved by EPA and CARB that are designed 
to reduce NOX and PM emissions. Some of those projects are 
already specified in the Consent Decree. Others will be selected after 
the close of the public comment period following consideration of, and 
review and approval by the United States and CARB, of projects proposed 
by Caterpillar, including any ideas submitted by the public. 
Caterpillar may receive credit against a portion of this $35 million 
obligation in return for securing verifiable reductions in 
NOX emissions not otherwise required by this Decree or other 
applicable law, but in no event will its obligation to fund projects be 
less then $25 million.
    Finally, Caterpillar is required to pay $25 million of civil 
penalties, twenty-five percent of which will be paid to CARB as part of 
its parallel settlement with Caterpillar.
    The Department of Justice will receive for a period of thirty (30) 
days from the date of this publication comments relating to the Consent 
Decree. Comments should be addressed to the Assistant Attorney General 
of the Environmental and Natural Resources Division, Department of 
Justice, Washington, D.C. 20530, and should

[[Page 59331]]

refer to United States v. Caterpillar, Inc., Civil Action No. 98-2544 
(HHK), D.J. Ref. 90-5-2-1-2255.
    The Consent Decree may be examined at the Office of the United 
States Attorney for the District of Columbia, Judiciary Center Bldg., 
555 Fourth St., N.W., Washington, D.C. 20001; at the Environmental 
Protection Agency Library, Reference Desk, Room 2904, 401 M Street, 
S.W., Washington, D.C. 20460; and at the Consent Decree Library, 1120 G 
Street, N.W., 3rd Floor, Washington, D.C. 20005, 202-624-0892. A copy 
of the Consent Decree may be obtained in person or by mail from the 
Consent Decree Library, 1120 G Street, N.W., 3RD Floor, 
Washington, D.C. 20005. In requesting a copy, please enclose a check in 
the amount of $34.50 (25 cents per page reproduction cost) payable to 
the Consent Decree Library.
Joel M. Gross,
Chief, Environmental Enforcement Section, Environment and Natural 
Resources Division.
[FR Doc. 98-29405 Filed 11-2-98; 8:45 am]
BILLING CODE 4410-15-M