[Federal Register Volume 64, Number 69 (Monday, April 12, 1999)]
[Notices]
[Pages 17715-17716]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-9005]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration
[Docket No. NHTSA 99-5476; Notice 1]


Electric Vehicles International; Application for Temporary 
Exemption From Federal Motor Vehicle Safety Standard No. 121

    We are asking comments from the public on the application by 
Electric Vehicles International LLC (``EVI'') of Anderson, Indiana, to 
be exempted from portions of Federal Motor Vehicle Safety Standard No. 
121, Air Brake Systems. The statutory basis for this request is that 
``compliance would cause substantial economic hardship to a 
manufacturer that has tried in good faith to comply with the 
standard.'' 49 U.S.C. 30113.
    We are publishing this notice of receipt of the application in 
accordance with our regulations on temporary exemptions. This action 
does not represent any judgment by us about the merits of the 
application.
    The discussion below is based on information that EVI provided in 
its application.

Why EVI Needs an Exemption

    EVI is requesting an exemption for three years. In August 1997, EVI 
was organized as a corporation, acquiring some of the assets of 
Specialty Vehicle Mfg. Corp. of California, a manufacturer of buses and 
trolleys for use in transit and shuttle service. EVI's goal is to turn 
the operation into ``a first class bus company.'' It estimated its 
projected start-up costs at $4,000,000, and has raised $3,000,000 
through a private placement offering.
    Effective with vehicles manufactured on or after March 1, 1998, 
S5.1.6.1(a) of Standard No. 121 requires each single unit vehicle 
including buses to be equipped with an antilock brake system. EVI's 
product line consists of battery-powered and hybrid electric buses and 
trolleys, primarily used by transit agencies. Presently, it produces 
Generation III buses and trolleys. These vehicles are rated at 18,000 
to 22,000 GVW, ``so they do not fall in either the light vehicle or 
heavy vehicle class.'' It knows ``from experience working with axle 
suppliers that it would take a minimum of 18-24 months to receive a 
prototype axle with antilock brakes.'' After receiving the prototype 
system, it would have to review for further design changes necessary to 
install on future vehicles.

Why Compliance Would Cause EVI Substantial Economic Hardship

    To design, develop, and test an antilock brake system for a 
production rate of 50 to 300 vehicles per year would create a 
substantial increase in the price of the buses and trolleys that EVI 
intends to manufacture. If EVI is unable to obtain an exemption, it 
would have to ``cease production and close the company.'' Its net loss 
for the 5 months it was in existence in 1997 was $437,900, increasing 
to $1,632,800 for the 12 months of 1998. The company had manufactured 
two vehicles as of the end of January 1998.

How EVI Has Tried in Good Faith to Comply With Standard No. 121

    EVI's buses use an air-over-hydraulic brake system. The company has 
searched the industry to find an antilock brake system for vehicles 
defined as ``medium duty vehicles.'' To date, it has been unable to 
find any manufacturer that has a system available to meet its braking 
requirements. Attachment 3 to EVI's application lists 19 manufacturers 
and suppliers that it contacted in its attempt to comply with the 
antilock brake system requirements in Standard No. 121.

Why an Exemption for EVI Would Be in the Public Interest and 
Consistent With the Objectives of Motor Vehicle Safety

    The City of Anderson is assisting EVI financially with additional 
capital with the stipulation that EVI hire ``at least

[[Page 17716]]

51% low and moderate income persons by creating jobs.'' EVI will offer 
prospective assembly positions extensive training in conjunction with 
the County's job training and partnership administration.
    EVI enclosed data purporting to show that the total service and 
emergency brake stopping distance of its bus already comply with the 
maximum stopping distances specified in Table II of Standard No. 121, 
and will be unaffected by an exemption.

How To Comment on EVI's Application

    We invite written comments on EVI's application. Please send them 
in two copies, referring to the docket and notice number, to: Docket 
Management, National Highway Traffic Safety Administration, room PL-
401, 400 Seventh Street, SW, Washington, DC 20590. We shall consider 
all comments received before the close of business on the comment 
closing date below. Comments will be available for examination in the 
docket at the above address both before and after that date, between 
the hours of 10 a.m. and 5 p.m. To the extent possible, we will also 
consider comments filed after the closing date. When the Administrator 
has made a decision, we shall publish it in the Federal Register.
    Comment closing date: May 12, 1999.

    Authority: 49 U.S.C. 30113; delegations of authority at 49 CFR 
1.50 and 501.4.

    Issued on: April 6, 1999.
L. Robert Shelton,
Associate Administrator for Safety Performance Standards.
[FR Doc. 99-9005 Filed 4-9-99; 8:45 am]
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