[Federal Register Volume 67, Number 250 (Monday, December 30, 2002)]
[Notices]
[Pages 79687-79689]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-32938]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration


Petition for Exemption From the Federal Motor Vehicle Theft 
Prevention Standard; DaimlerChrysler

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

ACTION: Grant of petition for exemption.

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SUMMARY: This document grants in full the petition of DaimlerChrysler 
Corporation, (DaimlerChrysler) for an exemption of a high-theft line, 
the Jeep Grand Cherokee, from the parts-marking requirements of the 
Federal Motor Vehicle Theft Prevention Standard. This petition is 
granted because the agency has determined that the antitheft device to 
be placed on the line as standard equipment is likely to be as 
effective and reducing and deterring motor vehicle theft as compliance 
with the parts-marking requirements of the Theft Prevention Standard.

DATES: The exemption granted by this notice is effective beginning with 
model year (MY) 2004.

FOR FURTHER INFORMATION CONTACT: Ms. Rosalind Proctor, Office of 
Planning and Consumer Standards, NHTSA, 400 Seventh Street, SW., 
Washington DC 20590. Ms. Proctor's phone number is (202) 366-0846. Her 
fax number is (202) 493-2290.

SUPPLEMENTARY INFORMATION: In a petition dated September 27, 2002, 
DaimlerChrysler Corporation, (DaimlerChrysler), requested an exemption 
from the parts-marking requirements of the theft prevention standard 
(49 CFR Part 541) for the Jeep Grand Cherokee vehicle line, beginning 
with MY 2004. The petition requested an exemption from parts-marking 
requirements pursuant to 49 CFR 543, Exemption from Vehicle Theft 
Prevention Standard, based on the installation of an antitheft device 
as standard equipment for the entire vehicle line.
    Section 33106(b)(2)(D) of Title 49, United States Code, authorized 
the Secretary of Transportation to grant an exemption from the parts-
marking requirements for not more than on additional line of a 
manufacturer for MYs 1997-2000. However, it does not address the 
contingency of what to do after model year 2000 in the absence of a 
decision under Section 33103(d). 49 U.S.C. Sec.  33103(d)(3) states 
that the number of lines for which the agency can grant an exemption is 
to be decided after the Attorney General completes a

[[Page 79688]]

review of the effectiveness of antitheft devices and finds that 
antitheft devices are an effective substitute for parts-marking. The 
Attorney General has not yet made a finding and has not decided the 
number of lines, if any, for which the agency will be authorized to 
grant an exemption. Upon consultation with the Department of Justice, 
we determined that the appropriate reading of Section 33103(d) is that 
the National Highway Traffic Safety Administration (NHTSA) may continue 
to grant parts-marking exemptions for more than one additional model 
line each year, as specified for model years 1997-2000 by 49 U.S.C. 
33106(b)(2)(C). This is the level contemplated by the Act for the 
period before the Attorney General's decision. The final decision on 
whether to continue granting exemptions will be made by the Attorney 
General at the conclusion of the review pursuant to Section 
330103(d)(3).
    DaimlerChrysler submission is considered a complete petition as 
required by 49 CFR 543.7, in that it meets the general requirements 
contained in Sec.  543.5 and the specific content requirements of Sec.  
543.6.
    In its petition, DaimlerChrysler provided a detailed description 
and diagram of the identity, design, and location of the components of 
the antitheft device for the new vehicle line. DiamlerChrysler will 
install its antitheft devise as standard equipment on the MY 2004 Jeep 
Grand Cherokee vehicle line. The antitheft device to be installed on 
the MY 2004 Jeep Grand Cherokee does not include an audible or visual 
alarm but does incorporate an ignition immobilizer system.
    The Sentry Key Immobilizer System (SKIS) prevents the engine from 
running for more than 2 seconds unless a valid key is in the ignition 
switch. The immobilizer feature is activated when the key is removed 
from the ignition switch whether the vehicle doors are open or not. 
Once activated, only a valid key inserted into the ignition switch will 
disable immobilization and allow the vehicle to start and continue to 
run. The SKIS has a visual telltale located in the vehicle 
electromechanical instrument cluster (EMIC). Besides acting as a SKIS 
diagnostic indicator, the telltale also alerts the owner than an 
unauthorized vehicle start attempt had been made. Upon an unauthorized 
start attempt, the telltale continuously illuminates until the owner 
starts the vehicle with the proper Sentry Key. The telltale will be 
illuminated for three seconds when the ignition is turned to the ``ON'' 
position.
    The Sentry Key Immobilizer Module (SKIM), Jeep/Truck Engine 
Controller Plus (JTEC+) and the sentry key perform the immobilizer 
function. The JTEC+ controller must be programmed with the VIN and a 
secret key and the VIN must be programmed by a diagnostic tool. The 
EMIC controls the telltale only. When the sentry key is placed in the 
ignition, the SKIM and the key communicate via RF signal. After the 
SKIM determines that the key is valid, the SKIM requests a seed number 
from the JTEC+ controlled on all vehicles. The JTEC+ controller then 
verifies the code from the SKIM and transmits a key status (valid/
invalid signal). To avoid any perceived delay when starting the vehicle 
with a valid key and to prevent unburned fuel from entering the 
exhaust, the engine is permitted to run for no more than 2 seconds if 
an invalid key is used. If the code from the SKIM is invalid, the JTEC+ 
controller immobilizes the vehicle by shutting down the engine (after 
the initial 2 second run). Only 6 consecutive invalid vehicle start 
attempts are permitted, all further invalid attempts are locked out by 
not firing fuel injectors and not engaging the starter. Only the 
communication with a valid key is required to permit the engine to 
start and run.
    Replacing the SKIM requires a secret key to decode the ignitions 
keys. A copy of this secret key is stored in the JTEC+ controller. In 
replacing the JTEC+ controller, it must again have the VIN programmed 
in order for the vehicle to start and the secret key transferred to it 
by the SKIM. A diagnostic tool is required to perform both of these 
functions.
    DaimlerChrysler stated that the SKIM performs the interrogation 
with the transponder in the key using a Texas Instruments proprietary 
algorithm which results in a 40-bit number which allows for over one 
trillion combinations. Each ignition key used in the SKIS has an 
integral transponder chip. Ignition keys with this feature can be 
readily identified by a gray rubber cap molded onto the head of the 
key, while conventional ignition keys have a black molded rubber. The 
transponder chip is concealed beneath the molded rubber cap, where it 
is molded onto the head of the metal key.
    In order to ensure the realiability and durability of the device, 
DaimlerChrysler conducted tests based on its own specified standards 
and stated its belief that the device meets the stringent performance 
standards prescribed. Specifically, the device must demonstrate a 
minimum of 95 percent reliability with 90 percent confidence. This is 
the same standard that vehicle air bag systems are designed and tested 
to. The SKIS if fully functional over a voltage range of 9 Vde to 16 
Vde and a temperature range of -40 degrees celsius through 85 degrees 
celisius. In addition to the design and production validation test 
criteria, the SKIS undergoes a daily short term durability test whereby 
three randomly chosen systems are tested once per shift at the 
production facility. DaimlerChrysler also stated that 100% of the 
systems immobilizer undergoes a series of three functional tests prior 
to being shipped from the supplier to the vehicle assembly plant for 
installation in the vehicle.
    DaimlerChrysler has installed the SKIS vehicle immobilizer systems 
as standard equipment on all Jeep Grand Cherokee vehicles since the 
1999 model year. DaimlerChrysler stated that NHTSA's theft rates for 
the Jeep Grand Cherokee vehicles for model years 1995 to 1998 are 
5.5545, 7.0188, 4.3163 and 4.3557 respectively, significantly higher 
than the 1990/1991 median theft rate of 3,5826. Likewise, 
DaimlerChrysler reports that the theft rates of Jeep Grand Cherokee 
vehicles that were equipped with immobilizer systems indicate rates 
significantly lower than the 1990/1991 median theft rate. Theft rates 
for the Jeep Grand Cherokee vehicles since the introduction of 
immobilizer systems as standard equipment for MYs 1999 through 2000 are 
2.5630 and 2.4701 respectively.
    On the basis of this comparison, DaimlerChrysler has concluded that 
the proposed antitheft device is no less effective than those devices 
installed on lines for which NHTSA has already granted full exemption 
from the parts-making requirements.
    Based on the evidence submitted by DaimlerChrysler, the agency 
believes that the antitheft device for the Jeep Grand Cherokee vehicle 
line is likely to be as effective in reducing and deterring motor 
vehicle theft as compliance with the parts-marking requirements of the 
Theft Prevention Standard (49 CFR 541). The agency concludes that the 
device will provide four of the five types of performance listed in 
Sec.  543.6(a)(3): Promoting activation; attracting attention to the 
efforts of unauthorized persons to enter or operate a vehicle by means 
other than a key; preventing defeat or circumvention of the device by 
unauthorized persons; preventing operation of the vehicle by 
unauthorized entrants; and ensuring the reliability and durability of 
the device.
    As required by 49 U.S.C. Sec.  33106 and 49 CFR Part 543.6(a)(4) 
and (5), the agency finds that DaimlerChrysler has provided adequate 
reasons for its belief that the antitheft device will reduce and deter 
theft. This conclusion is based on

[[Page 79689]]

the information DaimlerChrysler provided about its antitheft device
    For the foregoing reasons, the agency hereby grants in full 
DaimlerChrysler's petition for an exemption for the MY 2004 Jeep Grand 
Cherokee vehicle line from the parts-making requirements of 49 CFR Part 
541. If DaimlerChrysler decides not to use the exemption for this line, 
it should formally notify the agency. If such a decision is made, the 
line must be fully marked according to the requirements of 49 CFR Parts 
541.5 and 541.6 (marking of major components parts and replacement 
parts).
    NHTSA notes that if DaimlerChrysler wishes in the future to modify 
the device on which this exemption is based, the company may have to 
submit a petition to modify the exemption. Part 543.7(d) states that a 
Part 543 exemption applies only to vehicles that belong to a line 
exempted under this part and equipped with the antitheft device on 
which the line's exemption is based. Further, Part 543.9(c)(2) provides 
for the submission of petitions ``to modify an exemption to permit the 
use of an antitheft device similar to but differing from the one 
specified in that exemption.''
    The agency wishes to minimize the administrative burden that Part 
543.9(c)(2) could place on exempted vehicle manufacturers and itself. 
The agency did not intend in drafting Part 543 to require the 
submission of a modification petition for every change to the 
components or design of an antitheft device. The significance of many 
such changes could be de minims. Therefore, NHTSA suggests that if the 
manufacturer contemplates making any changes the effects of which might 
be characterized as de minimis, it should consult the agency before 
preparing and submitting a petition to modify

    Authority: 49 U.S.C. 33106; delegation of authority at 49 CFR 
1.50.

    Issued on: December 20, 2002.
Stephen R. Kratzke,
Associate Administrator for Rulemaking.
[FR Doc. 02-32938 Filed 12-27-02; 8:45 am]
BILLING CODE 4910-59-M