[Federal Register Volume 65, Number 126 (Thursday, June 29, 2000)]
[Proposed Rules]
[Pages 40069-40070]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-16449]


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DEPARTMENT OF TRANSPORTATION

Coast Guard

33 CFR Part 181

[CGD 92-065]
RIN 2115-AE37


Hull Identification Numbers for Recreational Boats

AGENCY: Coast Guard, DOT.

ACTION: Supplemental notice of proposed rulemaking; termination.

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SUMMARY: The Coast Guard is terminating its rulemaking intended to 
amend its regulations on the identification number placed on the hull 
of a vessel. There is no consensus on the format for an expanded HIN 
and the Coast Guard lacks sufficient data to demonstrate that the 
benefits clearly outweigh the costs and burdens, particularly for small 
entities and the builders of high-volume, low cost boats.

DATES: This proposed rulemaking is terminated on June 29, 2000.

FOR FURTHER INFORMATION CONTACT: Alston Colihan, Office of Boating 
Safety, Recreational Boating Product Assurance Division, 202-267-0981.

SUPPLEMENTARY INFORMATION:

Regulatory History

    The Coast Guard published a Notice of Proposed Rulemaking in the 
Federal Register (59 FR 23651) on May 6, 1994, proposing to expand the 
existing 12-character hull identification number (HIN) to include 
certain vessel-specific information similar to the Vehicle 
Identification Number (VIN) on an automobile. A check digit in the 
expanded HIN would make alteration of an HIN more difficult, thereby 
helping to prevent fraud in the sale of vessels.
    Major objections to the proposed 19-character HIN were received 
based on the increased information collection burdens, particularly on 
small entities and the builders of high-volume, low cost boats, such as 
canoes, kayaks, and inflatables. In addition, the International 
Standards Organization (ISO) had finalized an HIN standard consisting 
of the existing Coast Guard 12-character HIN format preceded by a 2-
character country code and a hyphen. Manufacturers in the U.S. who 
export to Europe would be using the ISO HIN standard beginning with the 
1996 model year. Builders would have to affix HINs in two different 
formats or know in advance whether a boat would be sold in the U.S. or 
in Europe.
    In consideration of the objections received about information-
collection burdens, we published a Supplemental Notice of Proposed 
Rulemaking (SNPRM) in the Federal Register on February 21, 1997 (62 FR 
7971) announcing a proposal to align the HIN with the recently adopted 
ISO 14-character HIN standard. We received 31 comments nearly all of 
which were opposed to the 14-character ISO HIN format. Some of the 
comments indicated that, if the Coast Guard were to adopt the ISO 
format instead of an HIN format consisting of vessel-specific 
characters and a check digit, some States might refuse to participate 
in the development of the Vessel Identification System (VIS).
    Therefore, in an attempt to gather information to resolve 
conflicting issues, we published a Request for Comments in the Federal 
Register on November 16, 1998 (63 FR 63638), soliciting comments on: 
(1) The expected benefits of an expanded HIN with vessel-specific 
characters and a check digit; (2) the manner in which the Coast Guard 
should exempt small entities and the builders of high-volume, low cost 
boats, such as canoes, kayaks, and inflatables; and (3) the estimated 
burdens and costs to boat manufacturers if the HIN regulations were 
revised to require vessel-specific characters and a check digit.
    We received 31 comments, only one of which contained any economic 
data which could be used to determine the benefits of a requirement for 
an expanded HIN containing vessel-specific characters and a check 
digit. Only four comments were in favor of allowing exceptions for 
small entities and the builders of high-volume, low cost boats, such as 
canoes, kayaks, and inflatable boats. None of the comments contained 
information about the estimated burdens and costs to boat 
manufacturers.

Withdrawal

    This proposed rulemaking is terminated because of (1) the lack of 
substantive information about the benefits to society with a 
requirement for an expanded HIN containing vessel-specific characters 
and a check digit,

[[Page 40070]]

and (2) an inability to address issues involving exemptions for small 
entities and the builders of high-volume, low cost boats, such as 
canoes, kayaks, and inflatables. For these reasons, we are terminating 
further rulemaking under docket number CGD 92-065.
    We are initiating a study to gather data on the costs and benefits 
of an expanded HIN format and potential adverse impacts on small 
entities. We will review the results of the study and decide whether or 
not to open a new regulatory project in the future.

    Dated: June 21 2000.
Terry M. Cross,
Rear Admiral, U.S. Coast Guard, Assistant Commandant for Operations.
[FR Doc. 00-16449 Filed 6-28-00; 8:45 am]
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