[Federal Register Volume 70, Number 218 (Monday, November 14, 2005)]
[Rules and Regulations]
[Pages 69078-69081]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-22496]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

23 CFR Part 1345

[Docket No. NHTSA-2005-22879]
RIN 2127-AJ72


Incentive Grant Criteria for Occupant Protection Programs; 
Technical Amendments

AGENCY: National Highway Traffic Safety Administration, Department of 
Transportation

[[Page 69079]]


ACTION: Interim final rule; technical amendments.

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SUMMARY: This document makes technical amendments to the regulation 
governing the Occupant Protection Incentive Grant program, 23 CFR part 
1345, in light of new legislation extending the program. It updates 
information to conform to the new time period covered by the program 
and changes the due date for the submission of applications.

DATES: The technical amendments made in this rule are effective 
November 14, 2005. Comments on the change in the application due date 
must be submitted by December 14, 2005.

ADDRESSES: Your comments must be written and in English. To ensure that 
your comments are filed correctly in the Docket, please include the 
docket number of this document in your comments. Comments should be 
submitted (preferably in two copies) to: Docket Management, Room PL-
401, National Highway Traffic Safety Administration, 400 Seventh 
Street, SW., Washington, DC 20590. (Docket hours are Monday-Friday, 10 
a.m. to 5 p.m., excluding Federal holidays.) You may also submit your 
comments to the docket electronically by logging onto the Docket 
Management System (DMS) Web site at http://dms.dot.gov. Click on ``Help 
& Information'' or ``Help/Info'' to obtain instructions for filing your 
comments electronically.

FOR FURTHER INFORMATION CONTACT: For program issues: Judy Hammond, 
Injury Control Operations and Resources, NTI-200, telephone (202) 366-
2121, fax (202) 366-7394. For legal issues: David Bonelli, Office of 
Chief Counsel, NCC-113, telephone (202) 366-1834, fax (202) 366-3820, 
NHTSA, 400 Seventh Street, SW., Washington, DC 20590.

SUPPLEMENTARY INFORMATION: Section 2003 of The Transportation Equity 
Act for the 21st Century (TEA-21), Public Law 105-178 (1998) 
established a new occupant protection incentive grant program under 
Section 405 of Title 23, United States Code. Under this program, States 
could qualify for incentive grant funds by adopting and implementing 
effective programs to reduce highway deaths and injuries resulting from 
individuals riding unrestrained or improperly restrained in motor 
vehicles. The program, which made grant funds available from fiscal 
year (FY) 1998 through FY 2003, was designed to stimulate increased 
safety belt and child safety seat use. Funding was continued through FY 
2005 by Congressional appropriations extending TEA-21 grant programs.
    On August 10, 2005, the President signed into law the Safe, 
Accountable, Flexible, Efficient Transportation Equity Act--A Legacy 
for Users (SAFETEA-LU), Public Law 109-59. SAFETEA-LU extends the 
occupant protection incentive grant program from FY 2006 through FY 
2009 by amending provisions of 23 U.S.C. 405. The legislation updates a 
grant condition that previously required States to maintain occupant 
protection program spending from other sources at or above average 
levels from the two fiscal years prior to the enactment of TEA-21 (FY 
1996-1997). As amended, 23 U.S.C. 405(a)(2) now requires States to 
maintain spending from other sources at or above average levels from 
the two fiscal years prior to the enactment of SAFETEA-LU (FY 2003-
2004). The legislation increases the amount of funds to which a State 
is entitled by amending the apportionment percentage and updating the 
fiscal year under 405(c). Prior to the amendment, a State was entitled 
to an amount equal to 25 percent of its Section 402 apportionment for 
FY 1997. A State now is entitled to an amount equal to 100 percent of 
its section 402 apportionment for FY 2003. The legislation also 
specifies that grant funds may be transferred among programs authorized 
under 23 U.S.C. 405, 408, and 410. The previous legislation, TEA-21, 
authorized the transfer of funds among programs authorized under 23 
U.S.C. 405, 410, and 411.
    SAFETEA-LU amends section 405(a)(4) to specify the Federal share to 
which a State is entitled. While the new program begins in FY 2006, the 
Federal share is based on the number of fiscal years, beginning after 
September 30, 2003, that the State has received a grant under the 
Section 405 program. Thus, counting back to FY 2004, for the first or 
second year in which a State receives a grant, the Federal share must 
not exceed 75 percent; for the third or fourth year, the Federal share 
must not exceed 50 percent; and for the fifth or sixth year, the 
Federal share must not exceed 25 percent. The determination of the 
Federal share for the predecessor program under Section 405 remains 
unchanged.
    This document amends the provisions of 23 CFR part 1345 to reflect 
these statutory changes and to extend the occupant protection incentive 
grant program through FY 2009. We are amending Sec.  1345.4(a)(1)(iv) 
to indicate that States must maintain aggregate expenditures from other 
sources at or above the average level of expenditures in FY 2003-2004. 
We are amending Sec.  1345.4(b)(1) to specify that the amount of a 
grant shall be equal to 100 percent of the amount apportioned to the 
State under 23 U.S.C. 402 for FY 2003. We are making a number of other 
changes to Sec.  1345.4(b) to specify the Federal share, based on the 
number of years that a State participates in the program. We are 
amending Sec.  1345.6 to indicate that unobligated funds from this 
grant program may be transferred to programs authorized under 23 U.S.C. 
408 and 410. To clarify the application and certification process for 
State participants under the new legislation, we are adding definitions 
for ``first fiscal year'' and ``subsequent fiscal years'' in Sec.  
1345.3. We are also eliminating references to ``section 2003 of TEA-
21.''
    We are changing the application due date in Sec.  1345.4(a)(4) from 
August 1 of the applicable fiscal year to February 15. We believe that 
an earlier application due date is appropriate for the new program 
because less lead time is necessary for States to submit applications 
under the extension of this well-established program. The new due date 
will allow these grant funds to be awarded in time for spring national 
safety belt mobilization campaigns. We are soliciting comments from the 
States on this change in the application due date.
    These technical amendments are mostly conforming amendments and 
will not impose or relax any substantive requirements or burdens on 
State grant participants. Therefore, we find good cause that notice and 
opportunity for comment on these amendments (with the exception of the 
change in application due date) are not necessary under the 
Administrative Procedures Act. We also find good cause to limit the 
period for comment on the change in the application due date to 30 
days. A limited comment period is necessary to give States adequate 
time after the effective date of the final rule to submit applications. 
A limited comment period is also justified because we are soliciting 
comment on a single issue.

Statutory Basis for This Interim Final Rule

    The statutory basis for this rule is the Safe, Accountable, 
Flexible, Efficient Transportation Equity Act--A Legacy for Users 
(SAFETEA-LU), Public Law 109-59 (2005). SAFETEA-LU extends the occupant 
protection incentive grant program from FY 2006 through FY 2009 by 
amending provisions of 23 U.S.C. 405.

[[Page 69080]]

Regulatory Analyses and Notices

A. Executive Order 12866 and DOT Regulatory Policies and Procedures

    Executive Order 12866, ``Regulatory Planning and Review'' (58 FR 
51735, October 4, 1993), provides for making determinations whether a 
regulatory action is ``significant'' and therefore subject to Office of 
Management and Budget (OMB) review and to the requirements of the 
Executive Order. This rulemaking document is not significant under 
Executive Order 12866 or the Department of Transportation's (DOT) 
regulatory policies and procedures. (44 FR 11034, February 26, 1979). 
The effect of this rulemaking action is to make technical amendments to 
the regulation governing the Occupant Protection Incentive Grant 
program, in light of new legislation extending the program. It will not 
impose any additional burden on any person. The agency believes that 
this impact is minimal and does not warrant the preparation of a 
regulatory evaluation.

B. Environmental Impacts

    We have not conducted an evaluation of the impacts of this interim 
final rule under the National Environmental Policy Act. This rulemaking 
action makes technical amendments to the regulation governing the 
Occupant Protection Incentive Grant program, in light of new 
legislation extending the program. This rulemaking does not impose any 
change that would have any environmental impacts. Accordingly, no 
environmental assessment is required.

C. Regulatory Flexibility Act

    Pursuant to the Regulatory Flexibility Act, we have considered the 
impacts of this rulemaking action on small entities (5 U.S.C. 601 et 
seq.). I certify that this rulemaking action will not have a 
significant economic impact upon a substantial number of small entities 
within the context of the Regulatory Flexibility Act. The interim final 
rule makes technical amendments to a regulation governing the Occupant 
Protection Incentive Grant Program. States are the recipients of any 
funds awarded under this program, and they are not considered to be 
small entities, as that term is defined in the Regulatory Flexibility 
Act. Accordingly, we have not prepared a Final Regulatory Flexibility 
Analysis.

D. Executive Order 13132, Federalism

    E.O. 13132 requires NHTSA to develop an accountable process to 
ensure ``meaningful and timely input by State and local officials in 
the development of regulatory policies that have federalism 
implications.'' This interim final rule does not change the 
relationship between the national government and the States, or the 
distribution of power and responsibilities among the various levels of 
government as specified in E.O. 13132. This interim final rule merely 
extends the occupant protection incentive grant program through FY 
2009, as directed by statute. We are soliciting public comment on one 
substantive change made in this interim final rule--the change in 
application due date in Section 1345.4(b)(4) from August 1 of the 
applicable fiscal year to February 15.

E. Paperwork Reduction Act

    This interim final rule does not add any new information collection 
requirements, as that term is defined by the Office of Management and 
Budget (OMB) in 5 CFR part 1320. The existing requirements have been 
submitted previously to and approved by OMB, pursuant to the Paperwork 
Reduction Act (44 U.S.C. 3501, et seq.). These requirements have been 
approved under OMB No. 2127-0600, through April 30, 2008.

F. The Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4) requires 
agencies to prepare a written assessment of the costs, benefits and 
other effects of proposed or final rules that include a Federal mandate 
likely to result in the expenditure by State, local or tribal 
governments, in the aggregate, or by the private sector, of more than 
$100 million annually. This action will not result in additional 
expenditures by state, local or tribal governments or by any members of 
the private sector. Therefore, the agency has not prepared an economic 
assessment pursuant to the Unfunded Mandates Reform Act.

G. Civil Justice Reform

    This interim final rule does not have any retroactive effect. A 
petition for reconsideration or other administrative proceedings are 
not required before parties may file suit in court.

H. Privacy Act

    Anyone is able to search the electronic form of all comments 
received into any of our dockets by the name of the individual 
submitting the comment (or signing the comment, if submitted on behalf 
of an association, business, labor union, etc.). You may review DOT's 
complete Privacy Act Statement in the Federal Register published on 
April 11, 2000 (Volume 65, Number 70; Pages 19477-78) or you may visit 
http://dms.dot.gov.

List of Subjects in 23 CFR Part 1345

    Grant programs--Transportation, Highway safety, Reporting and 
recordkeeping requirements.


0
In consideration of the foregoing, 23 CFR Part 1345 is amended to read 
as follows:

PART 1345--INCENTIVE GRANT CRITERIA FOR OCCUPANT PROTECTION 
PROGRAMS

0
1. The authority citation is amended to read as follows:

    Authority: Pub. L. 105-78; Pub. L. 109-59; 23 U.S.C. 405; 
delegation of authority at 49 CFR 1.50.

0
2. Section 1345.1 is revised to read as follows:


Sec.  1345.1  Scope.

    This part establishes criteria, in accordance with 23 U.S.C. 405, 
for awarding incentive grants to States that adopt and implement 
effective programs to reduce highway deaths and injuries resulting from 
individuals riding unrestrained or improperly restrained in motor 
vehicles.
0
3. Section 1345.2 is revised to read as follows:


Sec.  1345.2  Purpose.

    The purpose of this part is to implement the provisions of 23 
U.S.C. 405 and to encourage States to adopt effective occupant 
protection programs.
0
4. Section 1345.3 is amended by removing paragraph designations (a) 
through (f) and adding the following definitions in alphabetical order 
to read as follows:


Sec.  1345.3  Definitions.

* * * * *
    First fiscal year means the first fiscal year beginning after 
September 30, 2003.
* * * * *
    Subsequent fiscal years means the second, third, fourth, fifth, or 
sixth fiscal year beginning after September 30, 2003.
* * * * *
0
5. Section 1345.4 is amended by revising paragraphs (a)(1)(iv), (a)(4), 
and (b) to read as follows:


Sec.  1345.4  General Requirements.

    (a) * * *
    (1) * * *
    (iv) It will maintain its aggregate expenditures from all other 
sources, except those authorized under Chapter 1 of Title 23 of the 
United States Code, for its occupant protection programs at

[[Page 69081]]

or above the average level of such expenditures in fiscal years 2003 
and 2004 (either State or federal fiscal year 2003 and 2004 can be 
used);
* * * * *
    (4) To qualify for grant funds in any fiscal year, the application 
must be received by the agency not later than February 15 of the fiscal 
year in which the State is applying for funds.
* * * * *
    (b) Limitations on grants. A state may receive a grant in a fiscal 
year subject to the following limitations:
    (1) Beginning in fiscal year 2006, the amount of a grant under 
Sec.  1345.5 shall equal up to 100 percent of the State's 23 U.S.C. 402 
apportionment for fiscal year 2003, subject to availability of funds.
    (2) In the first and second fiscal years beginning after September 
30, 2003 that a State receives a grant, it shall be reimbursed for up 
to 75 percent of the cost of its occupant protection program adopted 
pursuant to 23 U.S.C. 405.
    (3) In the third and fourth fiscal years beginning after September 
30, 2003 that a State receives a grant, it shall be reimbursed for up 
to 50 percent of the cost of its occupant protection program adopted 
pursuant to 23 U.S.C. 405.
    (4) In the fifth and sixth fiscal years beginning after September 
30, 2003 that a State receives a grant, it shall be reimbursed for up 
to 25 percent of the cost of its occupant protection program adopted 
pursuant to 23 U.S.C. 405.

0
6. Section 1345.5 is amended by revising the first sentence in 
paragraph (d)(4) introductory text; revising the introductory text of 
paragraph (g), and revising paragraph (g)(1) to read as follows:


Sec.  1345.5  Requirements for a grant.

* * * * *
    (d) * * *
    (4) To demonstrate compliance with this criterion in the first 
fiscal year the State receives a grant based on this criterion, the 
State shall submit a plan to conduct a program that covers each element 
identified in paragraphs (d)(1) through (d)(3) of this section. * * *
* * * * *
    (g) Certifications in subsequent fiscal years: (1) To demonstrate 
compliance in subsequent fiscal years the State receives a grant based 
on criteria in paragraphs (a), (b), (c) or (f) of this section, if the 
State's law, regulation or binding policy directive has not changed, 
the State, in lieu of resubmitting its law, regulation or binding 
policy directive as provided in paragraphs (a)(3), (b)(2), (c)(2)(i) or 
(f)(2) of this section, may submit a statement certifying that there 
have been no substantive changes in the State's laws, regulations, or 
binding policy directives.
* * * * *

0
7. Section 1345.6 is amended by revising paragraphs (b) and (c) to read 
as follows:


Sec.  1345.6  Award procedures.

* * * * *
    (b) If any amounts authorized for grants under this part for a 
fiscal year are expected to remain unobligated in that fiscal year, the 
Administrator may transfer such amounts to the programs authorized 
under 23 U.S.C. 408 and 23 U.S.C. 410, to ensure to the extent possible 
that each State receives the maximum incentive funding for which it is 
eligible.
    (c) If any amounts authorized for grants under 23 U.S.C. 408 and 23 
U.S.C. 410 are transferred to the grant program under this part in a 
fiscal year, the Administrator shall distribute the transferred amounts 
so that each eligible State receives a proportionate share of these 
amounts, subject to the conditions specified in Sec.  1345.4.

    Issued on: November 7, 2005.
Jacqueline Glassman,
Deputy Administrator.
[FR Doc. 05-22496 Filed 11-10-05; 8:45 am]
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