[Federal Register Volume 72, Number 128 (Thursday, July 5, 2007)]
[Rules and Regulations]
[Pages 36760-36791]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-11717]



[[Page 36759]]

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Part II





Department of Transportation





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Federal Motor Carrier Safety Administration



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49 CFR Parts 350, 375, 383, et al.



 Amendments To Implement Certain Provisions of the Safe, Accountable, 
Flexible, Efficient Transportation Equity Act: A Legacy for Users 
(SAFETEA-LU); Final Rule

  Federal Register / Vol. 72 , No. 128 / Thursday, July 5, 2007 / Rules 
and Regulations  

[[Page 36760]]


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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

49 CFR Parts 350, 375, 383, 384, 385, 386, 390, and 395

RIN 2126-AA96


Amendments To Implement Certain Provisions of the Safe, 
Accountable, Flexible, Efficient Transportation Equity Act: A Legacy 
for Users (SAFETEA-LU); Final Rule

AGENCY: Federal Motor Carrier Safety Administration (FMCSA), DOT.

ACTION: Final rule.

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SUMMARY: The Federal Motor Carrier Safety Administration (FMCSA) adopts 
as final certain regulations required by the Safe, Accountable, 
Flexible, Efficient Transportation Equity Act: A Legacy for Users 
(SAFETEA-LU). These regulations govern State compliance plans under the 
Motor Carrier Safety Assistance Program; withholding of Federal-aid 
highway funds based on State noncompliance with the Commercial Driver's 
License Program; intrastate operations of interstate motor carriers; 
civil penalties and disqualifications for violations of out-of-service 
orders; civil penalties for denial of access to records and property 
and for violations of statutes and regulations governing hazardous 
materials transportation; exemption from the Federal hours-of-service 
regulations for operators of commercial motor vehicles engaged in 
certain defined operations; exemption of drivers of propane service or 
pipeline emergency vehicles during emergency conditions requiring 
immediate response; and interstate transportation of household goods. 
The SAFETEA-LU provisions requiring these rules became effective on 
August 10, 2005. Adoption of the rules is a nondiscretionary 
ministerial action that can be taken without issuing a notice of 
proposed rulemaking and receiving public comment, in accordance with an 
exception available to Federal agencies under the Administrative 
Procedure Act.

EFFECTIVE DATE: September 4, 2007. Petitions for Reconsideration must 
be received by the Agency not later than September 4, 2007.

FOR FURTHER INFORMATION CONTACT: Mr. Frederic L. Wood, Office of Chief 
Counsel, Regulatory Affairs Division (MC-CCR), Federal Motor Carrier 
Safety Administration, Room W61-307, 1200 New Jersey Avenue, SE., 
Washington, DC 20590; by telephone at (202) 366-0834, or by electronic 
mail at [email protected].

SUPPLEMENTARY INFORMATION: 

Legal Basis for the Rulemaking

    This final rule is based on the authority of the Federal Motor 
Carrier Safety Administration (FMCSA) to implement statutory directives 
enacted by several provisions of the Safe Accountable, Flexible, 
Efficient Transportation Equity Act: A Legacy for Users, Public Law 
109-59, 119 Stat. 1144 (Aug. 10, 2005) (SAFETEA-LU). SAFETEA-LU enacted 
a wide range of provisions modifying various regulatory programs 
administered by FMCSA affecting motor carriers and related entities. A 
number of statutory provisions made changes that were mandatory, and 
their implementation does not require the exercise of discretion by 
FMCSA.
    These statutory changes went into effect upon enactment of SAFETEA-
LU on August 10, 2005. However, it is necessary to make conforming 
changes in the regulations administered by FMCSA to ensure these rules 
are consistent with the applicable statutes and can be applied and 
enforced. The provisions enacted by SAFETEA-LU and implemented in this 
final rule are as follows:

1. Section 4102 Increased penalties for out-of-service violations 
and false records.
2. Section 4103 Penalty for denial of access to records.
3. Section 4106 Motor carrier safety grants.
4. Section 4107 High Priority Activities and New Entrant Audits.
5. Section 4114 Intrastate operations of interstate motor carriers.
6. Section 4124(c) Commercial driver's license improvements; amounts 
withheld.
7. Section 4130 Operators of vehicles transporting agricultural 
commodities and farm supplies.
8. Section 4132 Hours of service for operators of utility service 
vehicles.
9. Section 4133 Hours-of-service rules for operators providing 
transportation to movie production sites.
10. Section 4146 Exemption during harvest periods.
11. Section 4147 Emergency condition requiring immediate response.
12. Section 4202 Household goods carriers--Definitions; application 
of provisions.
13. Section 4203 Household goods carriers--Payment of rates.
14. Section 4205 Household goods carrier operations.
15. Section 4207 Household goods carriers--Liability of carriers 
under receipts and bills of lading.
16. Section 4208 Household goods carriers--Arbitration requirements.
17. Section 4210 Household goods carriers--Penalties for holding 
household goods hostage.
18. Section 7112 Unsatisfactory safety ratings.
19. Section 7120 Civil penalty.

    Each of the statutory provisions listed above may be incorporated 
in regulations adopted by FMCSA under authority granted by one or more 
of the following provisions: 49 U.S.C. 502, 13301, 31102, 31136, or 
31317. FMCSA is authorized to implement these statutory provisions by 
delegation from the Secretary of Transportation in 49 CFR 1.73.
    As noted previously, Congress gave the Agency no discretion with 
respect to implementation of these SAFETEA-LU provisions, and the 
action taken in this final rule is necessary to conform the Agency's 
regulations to the statutory directives. Therefore, the Agency may 
adopt this rule without issuing a notice of proposed rulemaking and 
receiving public comment, in accordance with an exception available to 
Federal agencies under the Administrative Procedure Act. The Rulemaking 
Analyses and Notices section of this preamble explains why notice and 
comment is not required for this final rule.
    The final rule adopts these nondiscretionary ministerial 
regulations under title 49 of the Code of Federal Regulations. The 
specific changes necessary to conform the regulations to the statutory 
provisions are described in the next section.

SAFETEA-LU Provisions Implemented by the Final Rule

    The Federal Motor Carrier Safety Regulations (FMCSRs) amended by 
this final rule encompass diverse subject areas. These subject areas 
include State compliance plans under the Motor Carrier Safety 
Assistance Program; withholding of Federal-aid highway funds based on 
State noncompliance with the Commercial Driver's License Program; 
intrastate operations of interstate motor carriers; civil penalties and 
disqualifications for violations of out-of-service (OOS) orders; civil 
penalty assessments applicable to motor carriers, brokers, and freight 
forwarders for denial of access to records and property; civil 
penalties for violations of statutes and regulations governing 
hazardous materials transportation; exemption from the Federal hours-
of-service regulations for operators of commercial motor vehicles 
(CMVs) engaged in certain defined operations; exemption of drivers of 
propane service or pipeline emergency vehicles during emergency 
conditions requiring immediate response; and interstate

[[Page 36761]]

transportation of household goods.\1\ The following discussion 
organizes by FMCSR subject area the SAFETEA-LU provisions implemented 
by this final rule. Under Section-by-Section Discussion of Amendments 
to the FMCSRs, we discuss in order of their appearance in the Code of 
Federal Regulations the specific conforming amendments being adopted.
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    \1\ These FMCSR sugject areas more precisely reflect the 
regulatory topics affected by the SAFETEA-LU provisions than do the 
SAFETEA-LU section titles listed in Legal Basis for the Rulemaking.
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Motor Carrier Safety Assistance Program (MCSAP) Grants--State 
Compliance Plans

    Sec. 4106 of SAFETEA-LU (119 Stat. 1717) amends 49 U.S.C. 
31102(b)(1) to modify and augment the conditions a State must meet to 
qualify for basic program funds under the MCSAP. The statute requires a 
State to document in the State Commercial Vehicle Safety Plan (CVSP) 
its commitment to meet the following seven additional conditions:
     Deploy technology to enhance the efficiency and 
effectiveness of CMV safety programs;
     Establish a program to ensure that accurate, complete, and 
timely motor carrier safety data are collected and reported to the 
Secretary of Transportation (Secretary);
     Participate in a national motor carrier safety data 
correction system prescribed by the Secretary;
     Include, in both the training manual for the licensing 
examination to drive a non-CMV and the training manual for the 
licensing examination to drive a CMV, information on best practices for 
driving safely in the vicinity of noncommercial and commercial motor 
vehicles;
     Enforce the registration (operating authority) 
requirements of 49 U.S.C. 13902 by prohibiting the operation of any 
vehicle discovered to be operated by a motor carrier without the 
required operating authority or beyond the scope of the motor carrier's 
operating authority;
     Conduct comprehensive and highly visible traffic 
enforcement and CMV safety inspection programs in high-risk locations 
and corridors; and
     Except in the case of an imminent or obvious safety 
hazard, ensure that an inspection of a vehicle transporting passengers 
for a motor carrier of passengers is conducted at a station, terminal, 
border crossing, maintenance facility, destination, or other location 
where a motor carrier may make a planned stop.
    Sec. 4106 also modifies the benchmark by which the State ensures 
the continuity of annual State expenditures for CMV safety programs 
documented in the CVSP. Prior to enactment of SAFETEA-LU, section 
31102(b)(1)(E) required that the State's total annual expenditures for 
CMV safety programs ``be maintained at a level at least equal to the 
average level of such expenditures for fiscal years 1997, 1998, and 
1999.'' Sec. 4106 updates and standardizes this benchmark by replacing 
the words ``for fiscal years 1997, 1998, and 1999'' with the words ``3 
full fiscal years beginning after October 1 of the year 5 years prior 
to the beginning of each Government fiscal year.'' This new benchmark 
ensures aggregate annual expenditures for CMV safety programs reflect 
the States' previous levels of effort.
    Additionally, sec. 4106 amends section 31102(c) to provide that a 
State may use a portion of MCSAP grant funds to conduct documented 
enforcement of State traffic laws--both laws and regulations designed 
to promote the safe operation of CMVs and laws and regulations relating 
to non-CMVs, when necessary to promote the safe operation of CMVs--
provided the State maintains a level of motor carrier safety activities 
at least equal to its average level of such activities for fiscal years 
2003, 2004, and 2005. However, the statute limits the portion of MCSAP 
basic program funds a State may use for noncommercial motor vehicle-
related enforcement activities to no more than 5 percent, unless the 
Secretary determines a higher percentage will result in significant 
increases in CMV safety.
    Sec. 4107(a) of SAFETEA-LU amends 49 U.S.C. 31104 to add a 
provision specifying the safety performance criteria for distribution 
of High Priority Activity funds as part of the MCSAP grants, as well as 
the set-aside amounts and eligible grant recipients. Under the newly 
enacted and currently effective provisions of section 31104(k)(2), the 
Secretary may set aside up to $15,000,000 for each fiscal year through 
2009 for States, local governments, and organizations representing 
government agencies or officials that use and train qualified officers 
and employees in coordination with State motor vehicle safety agencies. 
Sec. 31104(k)(4) provides that at least 90 percent of the amounts set 
aside shall be awarded in grants to State and local government 
agencies.
    Sec. 4107(b) amends section 31144 to add a similar provision 
concerning New Entrant Funds. Under the newly enacted and currently 
effective provisions of section 31144(f), the Secretary shall set aside 
up to $29,000,000 from MCSAP grant funds per fiscal year and may make 
grants from this amount to State and local governments for new entrant 
motor carrier audits, without requiring a matching contribution from 
such governments. In addition, if the Secretary determines that a State 
or local government is not able to use government employees to conduct 
new entrant motor carrier audits, the Secretary may use the funds set 
aside to conduct such audits for the State or local government.

Withholding of Federal-Aid Highway Funds Based on State Noncompliance 
With the Commercial Driver's License Program

    Sec. 4124(c) of SAFETEA-LU (119 Stat. 1730) amends 49 U.S.C. 
31314(a) and (b) by providing that the Secretary shall withhold from a 
State, based on noncompliance with the Commercial Driver's License 
(CDL) Program, ``up to'' a specified percentage (5 percent and 10 
percent for the first and subsequent years, respectively) of Federal-
aid highway funds apportioned to the State under 23 U.S.C. 104(b)(1), 
(3), and (4). As the Federal-aid withholding amounts previously were 
fixed at the above-noted percentages, this provision allows FMCSA a 
certain amount of discretion in determining the amount of Federal-aid 
highway funds to be withheld from a given State.

Intrastate Operations of Interstate Motor Carriers

    Sec. 4114 of SAFETEA-LU (119 Stat. 1725) amends 49 U.S.C. 31144 by 
enhancing FMCSA's regulatory authority over the intrastate operations 
of interstate motor carriers and by directing the Agency to consider, 
as part of determining the safety ratings of interstate carriers that 
also operate in Canada and Mexico, the carriers' safety records in 
those countries. Specifically, Sec. 4114(a) amends section 31144(a) to 
affirm the Agency's authority, for the purposes of determining safety 
fitness ratings, to consider ``among other things the accident record'' 
(i.e., record of crashes) and safety inspection records of ``an owner 
or operator operating in interstate commerce'' and also ``the accident 
record and safety inspection record of such owner or operator * * * in 
operations that affect interstate commerce.'' Motor carriers already 
are required by 49 CFR 390.15 to record intrastate accidents on their 
accident registers. See Accident Recordkeeping Requirements issued by 
the Federal Highway Administration (FMCSA's predecessor organization 
within the

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U.S. Department of Transportation), which clarified the definition of 
``accident'' in 49 CFR 390.5 (60 FR 44439, Aug. 28, 1995). The 
provisions of section 31144(a)(1)(A), as amended by SAFETEA-LU, remove 
any uncertainty about the Agency's authority to utilize such data in 
determining a carrier's safety fitness. Additionally, sec. 4114(a) 
authorizes the Agency to consider such data from operations in Canada 
and Mexico, if the owner or operator also conducts operations within 
the United States.
    Sec. 4114(b) provides that if FMCSA determines a motor carrier is 
unfit and prohibits the carrier from operating in interstate commerce, 
the Agency also must place out of service the carrier's operations 
affecting interstate commerce.
    Finally, section 4114(c) provides that, if a State receiving MCSAP 
funds and using FMCSA's safety rating methodology prohibits the 
intrastate operations of a carrier whose principal place of business is 
in that State, FMCSA must take reciprocal action by prohibiting the 
motor carrier from operating in interstate commerce.
    It should be noted that section 4114(a) allows FMCSA to utilize, 
for purposes of evaluating the safety fitness of motor carriers that 
operate in the United States, data on ``the accident record and safety 
inspection record * * * in operations in Canada and Mexico'' whether 
the owner or operator is domiciled in Canada, Mexico, or the United 
States. This amendment expands the scope of 49 U.S.C. 31144(a)(1), but 
it is not an exercise of extraterritorial jurisdiction, because any 
fitness determinations resulting from utilization of this additional 
data would be effective only in the United States. Procedures for 
conducting compliance reviews on Mexico-domiciled carriers are set 
forth in part 385, subpart B; and FMCSA selectively conducts compliance 
reviews on Canada-domiciled motor carriers as appropriate. Discussions 
on harmonizing procedures for safety fitness determinations and 
expanding data sharing efforts are currently in progress with Mexico 
and Canada. Implementation of such agreements and procedures will be 
necessary to make more Canadian and Mexican data available for this 
purpose.

Civil Penalties and Disqualifications for Violations of Out-of-Service 
Orders

    Sec. 4102(b)(2)-(4) of SAFETEA-LU (119 Stat. 1715) amends 49 U.S.C. 
31310(i)(2) by increasing minimum CDL disqualification periods and 
civil penalty amounts applicable to drivers convicted of violating a 
driver or vehicle OOS order. It also increases the maximum civil 
penalty assessment applicable to employer violations of OOS orders.\2\ 
These changes are as follows:
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    \2\ The changes in penalties made by sec. 4102(a) of SAFETEA-LU 
(amending 49 U.S.C. 521(b)(2)(B) to increase the penalties for 
recordkeeping and reporting violation) does not require any change 
in the FMCSRs because they are automatically implemented by 49 CFR 
386.81. The new criminal offense for knowing and willful violation 
of an OOS order added to 49 U.S.C. Sec.  31310(i)(2)(D) by 
4102(b)(5) of SAFETEA-LU also does not require any changes in the 
FMCSRs because the general provisions of Title 18 U.S.C. referred to 
provide for and implement penalties for violations of Federal 
criminal statutes.
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    Minimum CDL disqualification periods. Sec. 4102(b) increases the 
minimum CDL disqualification periods applicable to drivers convicted of 
violating a driver or vehicle OOS order while transporting nonhazardous 
materials. Under previous 49 U.S.C. 31310(i)(2), such a driver must be 
disqualified from operating a CMV for no less than 90 days for the 
first conviction and at least 1 year for the second conviction. 
Sections 4102(b)(2) and (3) amend section 31310(i)(2) by increasing 
these minimum disqualification periods to 180 days for the first 
conviction and 2 years for the second conviction.
    SAFETEA-LU does not affect the maximum disqualification periods 
prescribed in the FMCSRs for violating an OOS order. The minimum and 
maximum disqualification periods in the FMCSRs for OOS violations while 
transporting hazardous materials are also unchanged.
    Minimum civil penalty assessments on drivers. Sec. 4102(b) 
increases the minimum civil penalty assessments applicable to drivers 
convicted of an OOS violation. Under previous 49 U.S.C. 31310(i)(2)(A) 
and (B), such violations carried a minimum civil penalty of $1,000 for 
both a first and second conviction. Sections 4102(b)(2) and (3) amend 
section 31310(i)(2) by increasing the minimum penalty amount for the 
first and second convictions to $2,500 and $5,000, respectively.
    Maximum civil penalty assessments on employers. Under previous 49 
U.S.C. 31310(i)(2)(C), an employer that knowingly allowed or required 
an employee to operate a CMV in violation of an OOS order was liable 
for a civil penalty of not more than $10,000. Sec. 4102(b)(4) amends 
this section by increasing the maximum civil penalty assessment to 
$25,000.

Transportation of Hazardous Materials--Civil Penalty For Violation of 
Out-of-Service Order

    Sec. 7112 of SAFETEA-LU (119 Stat. 1899) amends 49 U.S.C. 5113 and 
31144 to provide that an interstate motor carrier owning or operating 
CMVs designed or used to transport hazardous materials for which 
placarding of a motor vehicle is required under chapter 51 of 49 
U.S.C., that operates in interstate commerce after being placed out of 
service because of a final ``unsatisfactory'' safety rating, is subject 
to the civil and criminal penalties set forth in 49 U.S.C. 5123 and 
5124. Those are penalties for violations of the Hazardous Materials 
Regulations (HMRs) that are higher than those found in the general 
civil and criminal penalty provisions under 49 U.S.C. 521 for 
violations of the FMCSRs. The maximum penalties available are increased 
to $100,000 per offense in cases where a violation results in death, 
serious illness, or severe injury to any person or substantial 
destruction of property.

Civil Penalties for Violations of Statutes and Regulations Governing 
Hazardous Materials Transportation

    Sec. 7120 of SAFETEA-LU (119 Stat. 1905) amends 49 U.S.C. 5123 and 
5124 to revise the maximum and minimum civil penalties pertaining to 
violations of the HMRs, including violations related to hazardous 
materials training. The maximum penalties that may be applied are 
increased to $100,000 per offense in cases where a violation results in 
death, serious illness, or severe injury to any person or substantial 
destruction of property. The amendments to the FMCSRs allow FMCSA, in 
the exercise of its concurrent authority to enforce the HMRs, to apply 
the penalties prescribed in the hazardous materials law.

Civil Penalties For Motor Carriers, Freight Forwarders, and Brokers 
That Deny FMCSA the Right To Access Their Records and Facilities

    Sec. 4103 of SAFETEA-LU (119 Stat. 1716) amends 49 U.S.C. 521 by 
adding section 521(b)(2)(E), ``Copying of records and access to 
equipment, lands, and building.'' This section establishes a civil 
penalty applicable to a person subject to 49 U.S.C. chapter 51, or to a 
motor carrier, broker, freight forwarder, or CMV owner or operator 
subject to part B of subtitle VI, who does not allow, upon demand, the 
Secretary (or an employee designated by the Secretary) to inspect and 
copy any record or inspect and examine equipment, lands, buildings, and 
other

[[Page 36763]]

property in accordance with 49 U.S.C. 504(c), 5121(c), and 14122(b). 
Motor carriers and other entities or persons subject to FMCSA 
regulations must promptly submit accounts, books, records, memoranda, 
correspondence, and other documents for inspection and copying, as well 
as make their lands, buildings, equipment, and other property available 
for examination and inspection by FMCSA (or an employee designated by 
FMCSA) upon demand and display of a proper credential. The civil 
penalty established in sec. 4103 for violating this requirement is not 
to exceed $1,000 for each offense. Each day that access is denied is 
considered a separate offense; however the total penalty for all 
offenses related to a single violation may not exceed $10,000.
    The primary goal of sec. 4103 is to compel uncooperative parties 
subject to the FMCSRs and/or the HMRs to promptly produce relevant 
records and allow access to property upon demand by credentialed FMCSA 
employees. As provided in the last sentence of section 521(b)(2)(E), 
additional remedies under 49 U.S.C. 502(d) and 507(c) are available to 
FMCSA to address situations not covered by the civil penalties added by 
sec. 4103.

Exemptions From the Federal Hours-of-Service Rules for Operators of 
CMVs Engaged in Certain Defined Operations

    The statutory history of these provisions is complex. First, Sec. 
4115 of SAFETEA-LU (119 Stat. 1726) amends title II of the Motor 
Carrier Safety Improvement Act of 1999 (Public Law 106-159, 113 Stat. 
1748-1773) (MCSIA) to add a new sec. 229, set out as a note to 49 
U.S.C. 31136.\3\ Section 229 then was amended by subsequent sections of 
SAFETEA-LU to revise or add exemptions from the Federal hours-of-
service regulations for drivers in certain defined operations. See 49 
U.S.C. 31136 note. These exemptions are as follows:
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    \3\ Section 229 was previously enacted as sec. 345 of Public Law 
104-59, 109 Stat. 613 (November 28, 1995) and was also set out as a 
note to 49 U.S.C. 31136.
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    Drivers transporting agricultural commodities. Sec. 4130(a) of 
SAFETEA-LU (119 Stat. 1743) amends the new sec. 229(a)(1) of MCSIA to 
restate the previous exemption of certain drivers transporting 
agricultural commodities or farm supplies for agricultural purposes 
within a State from regulations regarding maximum driving and on-duty 
time during planting and harvesting periods (as determined by the 
State), provided the transportation is limited to an area within a 100 
air-mile radius of the source of the commodities or the distribution 
point for the farm supplies. Section 4130(c) added to section 229 of 
MCSIA two definitions related to this exemption. Sec. 229(c)(7) defines 
``agricultural commodity'' as ``any agricultural commodity, non-
processed food, feed, fiber, or livestock (including livestock as 
defined in sec. 602 of the Emergency Livestock Feed Assistance Act of 
1988 (7 U.S.C. 1471) and insects).'' Sec. 229(c)(8) defines ``farm 
supplies for agricultural purposes'' as including ``products directly 
related to the growing or harvesting of agricultural commodities during 
the planting and harvesting seasons within each State, as determined by 
the State, and livestock feed at any time of the year.''
    Drivers of utility service vehicles. Sec. 4132 of SAFETEA-LU (119 
Stat. 1744) further amends sec. 229(a) of MCSIA to add subsection 
(a)(4), which exempts drivers of utility service vehicles from the 
Federal hours-of-service regulations under the circumstances specified 
in the definition in subsection 229(c)(6) and prohibits enactment of 
similar regulations by States and other jurisdictions.
    Drivers providing transportation to or from a motion picture 
production site. Sec. 4133 of SAFETEA-LU (119 Stat. 1744) (set out as a 
note to 49 U.S.C. 31136) provides that drivers transporting property or 
passengers to or from a theatrical or television motion picture 
production site located within a 100 air-mile radius of the driver's 
work-reporting location are exempt from the regulations currently in 
effect regarding maximum daily hours of service. Such drivers are 
subject instead to the maximum daily hours-of-service regulations in 
effect on April 27, 2003. At any time the driver operates beyond 100 
air miles of the work-reporting location, this exception does not 
apply.
    Exemption for the transportation of grapes in the State of New York 
during harvest periods. Sec. 4146 of SAFETEA-LU (119 Stat. 1749) 
suspends through fiscal year 2009 the applicability of regulations 
regarding maximum driving and on-duty time for drivers transporting 
grapes west of Interstate 81 in New York State during harvest periods 
(as determined by the State). This exception applies only if the 
transportation is within a 150 air-mile radius of where the grapes are 
picked and distributed.

Exemption of Drivers of Propane Service or Pipeline Emergency Vehicles 
During Emergency Conditions Requiring Immediate Response

    Section 4147 of SAFETEA-LU (119 Stat. 1749) added a new subsection 
(f) to sec. 229 of MCSIA to provide an exception from regulations 
prescribed under the authority of 49 U.S.C. 31136 or 49 U.S.C. 31502 
for drivers of CMVs used primarily in the transportation of propane 
winter heating fuel or used to respond to a pipeline emergency, if such 
a regulation would prevent the driver from responding to an emergency 
condition requiring immediate response. This exception applies to the 
driver, not to the CMV. Therefore, the regulations from which these 
drivers will be exempted while such emergency conditions prevail are 
limited to those in 49 CFR parts 390-399 that apply to the driver. The 
driver will not be exempted from the controlled substances and alcohol 
use and testing regulations and the commercial driver's license 
regulations in parts 382 and 383, respectively, because those 
regulations are prescribed under 49 U.S.C. chapter 313 rather than 
under sections 31136 or 31502 specified in section 4147. See also 49 
CFR 382.103(a), 382.107 (definition of commercial motor vehicle), 
383.3(a), and 383.5 (definition of commercial motor vehicle), which 
continue to apply the controlled substance and alcohol use and testing 
regulations and the CDL regulations to drivers who might be exempt from 
other regulations under section 229(f) of MCSIA.
    The exception applies only when an otherwise applicable regulation 
in parts 390-399 would prevent the driver from responding to an 
emergency condition requiring immediate response. The driver's 
exemption from applicable regulations is not automatic or carte 
blanche. Rather, the determination whether the exemption is applicable 
must be made on a case-by-case basis after consideration of all facts 
and circumstances related to the emergency condition. Further, the 
circumstances that may constitute emergency conditions requiring 
immediate response are not limited to those identified in the statute. 
Any claim by the motor carrier or the driver that circumstances not 
specified in the statute constitute such an emergency condition must be 
evaluated by motor carrier enforcement personnel on a case-by-case 
basis.

[[Page 36764]]

Interstate Transportation of Household Goods

    This final rule amends certain FMCSRs governing elements of the 
interstate transportation of household goods, as follows:

A. Definitions and Applicability

    Sec. 4202(b) of SAFETEA-LU (119 Stat. 1751) amends 49 U.S.C. 13102 
by adding the statutory definitions for ``household goods motor 
carrier'' and ``individual shipper.'' The new statutory definition for 
individual shipper modifies the existing definition in 49 CFR 375.103. 
This final rule adds to Sec.  375.103 the statutory definition of a 
household goods motor carrier. Under the definition, a motor carrier 
that transports household goods is considered a household goods motor 
carrier if it offers some or all of four additional services: (1) 
Providing binding and nonbinding estimates; (2) inventorying; (3) 
protective packing and unpacking of individual items at personal 
residences; and (4) loading and unloading at personal residences. As 
required by the statute, the definition excludes a motor carrier 
transporting household goods in containers or trailers that are 
entirely loaded and unloaded by an individual who is not employed by or 
acting as an agent of the carrier. Only carriers that are considered 
household goods motor carriers are subject to the provisions of 49 CFR 
part 375.
    Sec. 4202(c) of SAFETEA-LU provides that the statutes (and, by 
extension, the implementing regulations) governing the transportation 
of household goods apply only to household goods motor carriers, as now 
defined in 49 U.S.C. 13102. Household goods motor carriers are subject 
in addition to provisions of statutes and regulations applicable to all 
motor carriers of property, unless specifically excluded.

B. Payment of Transportation Charges

    Sec. 4203 of SAFETEA-LU amends 49 U.S.C. 13707(b) to limit the 
transportation charges individual shippers must pay to household goods 
motor carriers to obtain delivery of a shipment of household goods and 
to regulate procedures concerning additional charges.
    Estimated charges. The motor carrier is required to relinquish the 
household goods at destination upon payment by the individual shipper 
of either 100 percent of a binding estimate or not more than 110 
percent of a non-binding estimate. However, if only partial delivery of 
the goods is made, the carrier may not charge more than a prorated 
percentage of either (1) the binding estimate or (2) up to 110 percent 
of the non-binding estimate. The prorated amount must be based on the 
percentage of the weight of that portion of household goods delivered 
relative to the total weight of the shipment.
    Additional charges. As applicable, the carrier also may require at 
destination payment of charges for (1) additional services requested by 
the shipper and not included in the estimate (post-contract services) 
and (2) impracticable operations, as defined by the carrier's tariff. 
Charges collected at delivery for impracticable operations must not 
exceed 15 percent of all other charges due at delivery. However, the 
individual shipper must pay any remaining impracticable operations 
charges within 30 days after the carrier presents its freight bill.

C. Operations and Estimates

    Sec. 4205 of SAFETEA-LU (119 Stat. 1753) amends 49 U.S.C. 14104(b) 
by requiring the household goods motor carrier to conduct a physical 
survey of the household goods to be transported on behalf of the 
individual shipper. The carrier must then provide the shipper with a 
written estimate, based on the physical survey, of charges for the 
transportation and all related services. The statute permits two 
exceptions to the requirement for a physical survey.
    First, the motor carrier need not conduct a physical survey if the 
household goods are located beyond a 50-mile radius of the location of 
the carrier's household goods agent preparing the written estimate 
provided to the individual shipper.
    Second, the individual shipper may elect to waive a physical survey 
of the household goods. Such a waiver agreement is subject to several 
requirements. The waiver must be in writing; it must be signed by the 
individual shipper before the household goods shipment is loaded; and 
the motor carrier must retain a copy of the waiver as an addendum to 
the bill of lading. The copy of the waiver agreement is subject to the 
same record retention requirements that apply to the bill of lading, as 
provided in Sec.  375.505(d).
    Section 4205 also codified or added certain requirements for 
household goods motor carriers to provide two informational 
publications to individual shippers--``Ready to Move?'' and ``Your 
Rights and Responsibilities When You Move'' or any successor 
publications.

D. Limitations on Liability and Released Rates

    Sec. 4207 of SAFETEA-LU (119 Stat. 1757) amends the liability 
provisions in 49 U.S.C. 14706(f) to impose on the household goods motor 
carrier a ``full value protection obligation'' with respect to the 
individual shipper. The motor carrier is liable for the full value of 
household goods that are lost, damaged, destroyed or otherwise not 
delivered to the final destination unless the individual shipper waives 
such liability in writing. The carrier's liability is equal to the 
replacement value of the household goods, subject to a maximum amount 
equal to the declared value of the shipment and to rules issued by the 
Surface Transportation Board (STB) and applicable tariffs. If the 
household goods motor carrier receives from the individual shipper a 
written waiver of liability for full value protection, the released 
rates established by the STB shall apply.

E. Arbitration Requirements

    Sec. 4208 of SAFETEA-LU (119 Stat. 1757) amends the provisions 
governing procedures for arbitration of disputes in 49 U.S.C. 14708 as 
follows--
    Sec. 14708(b), as amended by section 4208(b), increases from $5,000 
to $10,000 the threshold amount at which the carrier must agree to 
submit certain disputes to binding arbitration at the individual 
shipper's request. If the dispute involves a claim of $10,000 or less 
and the shipper requests arbitration, the arbitration shall be binding 
on the parties. If a shipper requests arbitration involving a claim of 
more than $10,000, the decision of the arbitrator shall be binding on 
the parties only if the carrier agrees to the arbitration. Sec. 
14708(b) is further amended by section 4208(c) to provide that the 
arbitrator may, among other appropriate remedies listed in the statute, 
order the shipper to pay additional carrier charges.

F. Penalties for Holding Household Goods Hostage

    Sec. 4210 of SAFETEA-LU (119 Stat. 1758) amends chapter 149 of 
title 49 U.S.C. to add section 14915, which makes household goods motor 
carriers subject to civil and criminal penalties, as well as to 
suspension of registration, for failure to give up possession of the 
household goods upon tender of appropriate payment by the individual 
shipper. The civil penalty shall be not less than $10,000 for each 
violation, and each day the household goods are held hostage 
constitutes a separate violation. A violation may additionally result 
in the suspension of the household goods

[[Page 36765]]

motor carrier's registration under the provisions of 49 U.S.C. chapter 
139. These penalties complement the provisions for payment of rates 
added by sec. 4203 as discussed previously.

Section-by-Section Discussion of the FMCSR Amendments \4\
---------------------------------------------------------------------------

    \4\ To achieve a logical sequence of regulatory provisions, 
certain of the amended FMCSR sections include paragraphs that are 
redesignated (i.e., renumbered) but not otherwise revised.
---------------------------------------------------------------------------

A. Part 350--Commercial Motor Carrier Safety Assistance Program

    In part 350, we revise Sec. Sec.  350.111, 350.201, 350.211, and 
350.309 to implement the amended requirements in sec. 4106(c)(2) of 
SAFETEA-LU concerning MCSAP-eligible funding for documented enforcement 
of State and local traffic laws and regulations designed to promote the 
safe operation of CMVs and non-CMVs. We further amend Sec.  350.201, 
and amend Sec.  350.301, to align the qualifying conditions for MCSAP 
Basic Program Funds and expenditure levels with those in sec. 
4106(a)(1)(A), (a)(2)(E), (a)(3)(Q), (A)(3)(U), (A)(3)(V), and 
(A)(3)(X). These expanded requirements are captured as well in amended 
Sec.  350.211, which provides the required format of the certification 
necessary for receipt of MCSAP Basic Program funding. The revisions to 
Sec.  350.111 include minor editorial clarifications.
    Changes to part 350 also are required by sec. 4107 of SAFETEA-LU, 
which amends the provisions regarding High Priority Activity funds and 
adds provisions for New Entrant Funds. In Sec.  350.105, we amend the 
definition for High Priority Activity Funds and add a definition for 
New Entrant Funds to implement sec. 4107(a) and (b), respectively. As 
required by sec. 4107(a), High Priority funds are now to be allocated 
only to ``State agencies, local governments, and organizations 
representing government agencies or officials that use and train 
qualified officers and employees in coordination with State motor 
vehicle safety agencies,'' and used for ``carrying out high priority 
activities and projects that improve commercial motor vehicle safety * 
* *.'' Additionally, projects eligible for high priority funds include 
demonstration of new technologies and public awareness and education.
    We implement this heightened specificity regarding High Priority 
grant recipients not only in the amended definition under Sec.  350.105 
but also in Sec.  350.313(c). The set-asides for High Priority and New 
Entrant grants provided in sec. 4107(a) and (b), respectively, are 
implemented in Sec.  350.313(a). The High Priority annual set-aside 
(which is up to $15,000,000 for fiscal years 2006 through 2009) is 
implemented as well in Sec.  350.319(d).
    Similarly, Sec.  350.321(d) provides that in each fiscal year the 
Administrator shall set aside for New Entrant activities an amount of 
MCSAP funding up to the maximum allowed by law. For each year, the 
maximum allowable amount is $29,000,000. To allow for future 
adjustments of the set-aside amounts by Congress, the regulatory text 
does not specify the amounts and applicable fiscal years. Section 
350.321 (whose heading is revised to read, ``What are permissible uses 
of New Entrant Funds?'') provides in addition that FMCSA will allocate 
New Entrant funds to State and local governments without requiring a 
matching contribution.
    We further implement sec. 4107 in Sec.  350.329, whose heading is 
revised to read ``How may a State or local agency qualify for High 
Priority or New Entrant Funds?''
    Finally, we remove Sec.  350.217. This section concerns MCSAP grant 
funds authorized under sec. 103(b)(1) of MCSIA, which is no longer in 
effect.

B. Part 375--Transportation of Household Goods in Interstate Commerce; 
Consumer Protection Regulations

    We amend Sec.  375.103 to revise the definition of ``individual 
shipper'', to add a definition for ``household goods motor carrier'', 
as required by sec. 4202(b) of SAFETEA-LU, and to revise the related 
definitions of ``you'' and ``your'' to reflect the new definition. As 
sec. 4202(c) limits the applicability of the regulations governing 
interstate transportation of household goods to household goods motor 
carriers as defined in sec. 4202(b), we amend Sec.  375.101, entitled 
``Who must follow these regulations?'', to replace the words ``for-hire 
motor carrier'' with the words ``household goods motor carrier,'' 
consistent with the definition in Sec.  375.103.
    To implement the sec. 4207 requirement that the motor carrier 
provide the individual shipper with full value protection against loss 
of, or damage to, household goods, unless the shipper waives the 
carrier's full value liability in writing, we amend Sec. Sec.  
375.201(b) and (c), 375.501(a)(10), 375.505(b)(12), and the sections 
``What Is My Mover's Normal Liability for Loss or Damage When My Mover 
Accepts Goods From Me?'' and ``What Actions by Me Limit or Reduce My 
Mover's Normal Liability?'' in subpart B of appendix A to part 375.
    We amend Sec.  375.211 to implement the sec. 4208 requirements 
governing arbitration of disputes between the carrier and shipper 
regarding loss of or damage to the household goods. The introductory 
text to amended Sec.  375.211(a) implements the provision in section 
4208(c) requiring arbitration on the issue of whether the individual 
shipper must pay additional carrier charges not collected at delivery. 
Sections 375.211(a)(7) and (8) implement the increased claim-amount 
thresholds at which arbitration requested by the individual shipper 
shall be binding, as provided in section 4208(b). Both provisions also 
are described in subpart B of appendix A to part 375, under ``Must My 
Mover Have an Arbitration Program?''. The section 4208(c) provision 
concerning payment of additional carrier charges not collected at 
delivery is described as well in the section ``Do I Have a Right To 
File a Claim To Recover Money for Property My Mover Lost or Damaged?'' 
under subpart H of this appendix.
    We amend Sec.  375.213 by revising paragraph (a) to implement the 
sec. 4205 requirement that the carrier provide the shipper a copy of 
the Department of Transportation publication FMCSA-ESA-03-005 entitled 
``Ready to Move?'' (or its successor publication) \5\ when providing 
the written estimate. We also make minor editorial revisions in Sec.  
375.213(c). We inform the individual shipper of the mover's obligation 
to provide him or her with a copy of ``Ready to Move?'' in ``What 
Information Must My Mover Provide Me?'' under subpart B of appendix A 
to part 375--the consumer pamphlet ``Your Rights and Responsibilities 
When You Move.''
---------------------------------------------------------------------------

    \5\ This publication is available on the FMCSA's Protect Your 
Move Web site at http://www.protectyourmove.gov/documents/ReadyToMove-2006-april.pdf.
---------------------------------------------------------------------------

    The requirement in 49 U.S.C. 14104(b)(2) for the household goods 
motor carrier to provide the shipper with a copy of the publication 
``Your Rights and Responsibilities When You Move'' is already contained 
in Sec.  375.213. The contents of this publication are specified in 
Appendix A to part 375. The publication was reissued in 2006 (71 FR 
17945, Apr. 7, 2006) to reflect most, but not all, of the statutory 
changes implemented by regulations now adopted in this final rule.\6\ 
The revised publication, which also includes the remaining changes 
required by SAFETEA-LU, together

[[Page 36766]]

with certain clarifying edits, is being published in this final rule.
---------------------------------------------------------------------------

    \6\ The current version of this publication, No. FMCSA-ESA-03-
006, is also available on the same Web site at http://www.protectyourmove.gov/documents/moving-rights-v9-final.pdf.
---------------------------------------------------------------------------

    We amend Sec. Sec.  375.401(a), 375.403(a), and 375.405(b)(1) to 
implement the sec. 4205 requirement that the motor carrier's written 
estimate (whether binding or non-binding) be based on a physical survey 
of the household goods. The two exceptions to this requirement--the 
physical survey is not required if the household goods are located 
beyond a 50-mile radius of the carrier's agent preparing the estimate 
or if the shipper waives the requirement in writing--are found in 
amended Sec. Sec.  375.401(a)(1) and (2). Amended Sec. Sec.  375.403(a) 
and 375.405(b) include minor editorial revisions. Corresponding 
information is provided to the individual shipper in the section ``Must 
My Mover Estimate the Transportation and Accessorial Charges for My 
Move?'' under subpart D of Appendix A to part 375.
    We further amend Sec. Sec.  375.401, 375.403, 375.405, and 375.407 
to implement certain provisions of 49 U.S.C. 13707(b), as amended by 
sec. 4203 of SAFETEA-LU. Under amended section 13707(b)(3)(C), the 
motor carrier may charge the shipper at delivery for post-contract 
services requested by the shipper. Post-contract services means 
services requested by the individual shipper after the bill of lading, 
which contains the terms and conditions of the contract between the 
carrier and the individual shipper, has been issued as provided in 49 
CFR 375.505(a). Under amended section 13707(b)(3)(D), the carrier may 
require the shipper to pay charges at delivery for impracticable 
operations, provided these charges do not exceed 15 percent of all 
other charges due at delivery, and allow the shipper only a 30-day 
credit period for the remaining charges. These rules are implemented in 
Sec. Sec.  375.401(e), 375.403(a)(9) and (10); 375.405(b); 375.407(a), 
(b), and (d); 375.703, 375.707(a)(2) and (3); 375.807(c)(1); and 
appendix A to part 375. A minor, clarifying editorial revision is 
included in Sec.  375.407(b).
    The Appendix A revisions noted above are found in subparts D, G, 
and H. See ``Must My Mover Estimate the Transportation and Accessorial 
Charges for My Move?''; ``How Must My Mover Estimate Charges Under the 
Regulations?''; and ``What Payment Arrangements Must My Mover Have in 
Place To Secure Delivery of My Household Goods Shipment?'' in subpart 
D; ``What Is the Maximum Collect-on-Delivery Amount My Mover May Demand 
I Pay at the Time of Delivery?'' in subpart G; and ``How Must My Mover 
Present Its Freight or Expense Bill to Me?''; ``If I Forced My Mover To 
Relinquish a Collect-on-Delivery Shipment Before the Payment of ALL 
Charges, How Must My Mover Collect the Balance?''; and ``What Actions 
May My Mover Take To Collect From Me the Charges Upon Its Freight 
Bill?'' in subpart H.
    We implement in Sec.  375.707 the sec. 4203 prohibition (as 
codified in amended 49 U.S.C. 13707(b)(3)(B)) against a motor carrier's 
demanding full payment of freight charges at delivery after making only 
partial delivery of a shipment. Corresponding information is provided 
to individual shippers in the amended section ``If My Shipment Is 
Partially Lost or Destroyed, What Charges May My Mover Collect at 
Delivery?'' under subpart G of appendix A to part 375.

C. Part 383--Commercial Driver's License Standards; Requirements and 
Penalties

    In part 383, we implement the increased civil penalty assessments 
against drivers and employers for violations of OOS orders (provided in 
sec. 4102(b)(2)-(4) of SAFETEA-LU) by amending Sec.  383.53(b)(1) and 
(2), respectively. The increased minimum disqualification periods for 
drivers convicted of such violations are implemented in amended table 4 
to Sec.  383.51 (Sec.  383.51(e)).

D. Part 384--State Compliance With Commercial Driver's License Program

    We implement the sec. 4124(c) provision concerning Federal-aid 
highway fund withholding amounts based on State noncompliance with the 
CDL Program in amended Sec.  384.401(a) and (b), respectively (as 
renumbered as a result of the change described in the next paragraph), 
by replacing, in the phrase ``equal to 5 percent'' and the phrase 
``equal to 10 percent,'' the words ``equal to'' with ``up to.'' We also 
add Sec.  384.301(c), which allows States up to 3 years from the 
effective date of the final rule to come into compliance with the newly 
adopted requirements of subpart B to part 384. This provides sufficient 
time for the States to revise State legislation and establish 
procedures to incorporate the new requirements into existing systems.
    In addition, this final rule makes a technical correction by 
removing Sec. Sec.  384.401(a)(2) and (b)(2) and renumbers the 
preceding paragraphs accordingly. Like the previously discussed Sec.  
350.217, also being removed in this rule, Sec. Sec.  384.401(a)(2) and 
(b)(2) refer to certain MCSAP grant funds authorized under sec. 
103(b)(1) of MCSIA, which is no longer in effect.

E. Part 385--Safety Fitness Procedures

    Sec. 4114 of SAFETEA-LU enhances FMCSA's regulatory authority over 
the intrastate operations of interstate motor carriers (i.e., to 
intrastate operations affecting interstate commerce) and allows the 
Agency to consider, in determining the safety rating of an interstate 
carrier that also operates in Canada and/or Mexico, the carrier's 
safety records in those countries. We implement this requirement by 
adding a definition for ``motor carrier operations in commerce'' in 
Sec.  385.3, amending the part 385 provisions concerning determination 
of motor carrier safety ratings, and amending the explanation of the 
safety rating process in appendix B to part 385.
    ``Motor carrier operations in commerce'' are defined as including 
both CMV transportation operations in interstate commerce and 
operations affecting interstate commerce in conformity with the 
statutory grant of authority. We use the term ``motor carrier 
operations in commerce'' throughout amended part 385--specifically 
Sec. Sec.  385.7, 385.13, 385.17(g), and appendix B to part 385 (in new 
paragraph (f) and amended Sec.  II(B)). Minor editorial revisions are 
included in amended Sec.  385.17(g) and Sec.  II(B) of appendix B to 
part 385.
    To implement sec. 4114(a), which allows FMCSA to utilize among 
other things, for the purposes of safety ratings, the accident record 
and safety inspection record of an owner or operator operating in 
interstate commerce and the accident record and safety inspection 
record of an owner or operator in operations that affect interstate 
commerce, both within the United States and (as such data becomes 
available) in operations in Canada and Mexico if the owner or operator 
also operates within the United States, we amend Sec. Sec.  385.7(c), 
(d), (f), and (g).
    We amend Sec.  385.13(d)(1) to implement sec. 4114(b), which 
provides that if FMCSA determines that a motor carrier is unfit and 
then prohibits the carrier from operating in interstate commerce, the 
Agency also must place out of service any operations by the carrier 
that affect interstate commerce. Operations that affect interstate 
commerce are essentially any intrastate operation. We implement in 
Sec.  385.13(d)(2) and (3) the complementary provision under sec. 
4114(c) which requires that if a State receiving MCSAP funds and using 
FMCSA's safety rating methodology prohibits the intrastate operations 
of a carrier whose principal place of business is in that State, FMCSA 
must

[[Page 36767]]

take reciprocal action by prohibiting the motor carrier from operating 
in interstate commerce.

F. Part 386--Rules of Practice for Motor Carrier, Broker, Freight 
Forwarder, and Hazardous Materials Proceedings

    In Appendix B to part 386, as required by sec. 7112 of SAFETEA-LU, 
we implement the increased maximum civil penalties to which motor 
carriers transporting hazardous materials in interstate commerce in 
quantities requiring placarding (in accordance with 49 U.S.C. chapter 
51) are subject following receipt of a final ``unsatisfactory'' safety 
rating by revising paragraph (e)(1), revising and redesignating 
paragraph (e)(3), and adding paragraphs (e)(4) and (f)(2). The 
increased civil penalties in sec. 7120(a)(3) for violations of 
training-related HMRs are implemented in amended paragraph (e)(2) and 
new paragraph (f)(2) of this appendix B. New paragraphs (e)(5) and 
(f)(2) implement the higher civil penalties in sec. 7120(a)(2) for 
violations of statutes and regulations governing hazardous materials 
transportation where the violation results in death, serious illness, 
or severe injury to any person or in substantial destruction of 
property.
    New paragraph (g)(21) of this appendix B implements the civil 
penalty established in sec. 4210 of SAFETEA-LU for failure by a 
household goods motor carrier to relinquish a shipment for which the 
individual shipper has tendered payment in accordance with part 375. 
Lastly, we add paragraph (h) to this appendix B to implement the civil 
penalty established in sec. 4103 for a motor carrier, broker, or 
freight forwarder, or any person subject to 49 U.S.C. chapter 51, who 
denies FMCSA the right to access the company's records and facilities.

G. Part 390--Federal Motor Carrier Safety Regulations; General

    In part 390, we implement sec. 4147 of SAFETEA-LU by adding to the 
existing exceptions in Sec.  390.3(f) the exception for drivers 
responding to emergency conditions, and by adding in Sec.  390.5 a 
definition for ``emergency condition requiring immediate response.'' As 
provided in Sec. Sec.  382.103(c) and 383.3(b), the exceptions in Sec.  
390.3(f) are not applicable to part 382, Controlled Substances and 
Alcohol Use and Testing, and part 383, Commercial Driver's License 
Standards; Requirements and Penalties.

H. Part 395--Hours of Service of Drivers

    Sec. 4130, 4132, 4133, and 4146 of SAFETEA-LU provide specific 
exceptions from the hours-of-service regulations for operators of 
vehicles transporting agricultural commodities and farm supplies, 
operators of utility service vehicles, transportation of property or 
passengers to or from motion picture production sites, and operators of 
CMVs transporting grapes west of Interstate 81 in the State of New York 
during a harvesting period, respectively. We implement sec. 4130 and 
4132 by amending Sec. Sec.  395.1(k)(2) and (n), respectively. Sec. 
4133 is implemented by adding Sec.  395.1(p), while the sec. 4146 
exemption concerning the transportation of grapes during the harvest 
period in New York is implemented by adding Sec.  395.1(q).

Rulemaking Analyses and Notices

Administrative Procedure Act

    Generally agencies may promulgate final rules only after issuing a 
notice of proposed rulemaking and providing an opportunity for public 
comment under procedures required by the Administrative Procedure Act 
(APA), as provided in 5 U.S.C. 553(b) and (c). The APA, in 5 U.S.C. 
553(b)(3)(B), provides a good cause exception from these requirements 
when notice and an opportunity to comment would be unnecessary. FMCSA 
finds that notice-and-comment is unnecessary prior to adoption of each 
provision in this final rule because the changes to regulations are 
statutorily mandated by Congress and the Agency is performing a 
nondiscretionary ministerial act. Therefore, notice-and-comment 
procedures under 5 U.S.C. 553 are not required by the APA and are not 
otherwise required by law.

Executive Order 12866 (Regulatory Planning and Review) and DOT 
Regulatory Policies and Procedures

    FMCSA determined that this action does not meet the criteria for a 
``significant regulatory action'' either as specified in Executive 
Order 12866 or within the meaning of Department of Transportation 
regulatory policies and procedures (44 FR 11034, Feb. 26, 1979). 
Therefore, this rule has not been reviewed by the Office of Management 
and Budget (OMB). We anticipate the economic impact of this rulemaking 
will be so minimal that a full regulatory evaluation under paragraph 
10e of the regulatory policies and procedures of DOT is unnecessary.

Costs and Benefits of Safety Regulations

    Although a full regulatory evaluation is unnecessary because of the 
low economic impact of this rulemaking, FMCSA prepared a cost-benefit 
analysis of the impact of the various SAFETEA-LU provisions implemented 
by this final rule. This economic analysis examined each provision to 
determine whether it is economically significant, i.e., whether it is 
likely to result in a cost of $100 million or more in any given year. 
FMCSA determined that the rule provisions, considered both individually 
and in the aggregate, will neither rise to the level of economic 
significance nor significantly impact public safety. The details of 
this cost-benefit analysis are provided in the Regulatory Evaluation 
developed by the Agency, which is available in the docket for this 
rulemaking.
    Generally, the provisions of this final rule entail minor changes 
to operating procedures in specific segments of the industry that will 
have little if any impact on industry costs. Our analysis shows that 
the sec. 4114 provisions governing the intrastate operations of 
interstate carriers placed out of service as a result of an 
``unsatisfactory'' safety rating, and the accident and safety records 
of interstate carriers while operating in Canada and/or Mexico, will 
negatively impact a small number of carriers. In addition, some motor 
carriers who transport household goods will bear added costs due to 
this rule. These provisions will not impose costs of $100 million or 
more in any one year. Moreover, given the poor safety ratings of the 
small number of motor carriers affected by the intrastate operations 
provision, placing their intrastate operations out of service would 
likely produce modest safety benefits. FMCSA believes, therefore, that 
the collective impacts of provisions in this final rule will not be 
economically significant.
    Prior to prescribing any regulations under chapter 311 of title 49 
U.S.C., FMCSA must consider their costs and benefits ``to the extent 
practicable and consistent with the purposes of'' that chapter. 49 
U.S.C. 31136(c)(2)(A). The changes in 49 U.S.C. 31144 made by sec. 4114 
of SAFETEA-LU are subject to this requirement. As indicated in the 
Regulatory Evaluation, these changes will result in a modest net safety 
benefit each year.

Regulatory Flexibility Act

    Under the Regulatory Flexibility Act (RFA), as amended by the Small 
Business Regulatory Enforcement Fairness Act of 1996 (Pub. L. 104-121, 
110 Stat. 857), FMCSA is not required

[[Page 36768]]

to prepare a final regulatory flexibility analysis under 5 U.S.C. 
604(a) for this final rule because the agency has not issued a notice 
of proposed rulemaking prior to this action.

Unfunded Mandates Reform Act of 1995

    The Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4, 2 U.S.C. 
1532) requires Federal agencies to assess the effects of their 
regulatory actions on State, local, and tribal governments and the 
private sector. The regulations adopted in this final rule, taken 
together, will not impose an unfunded Federal mandate resulting in the 
expenditure by State, local, or tribal governments, in the aggregate, 
or by the private sector, of $128.1 million or more (as adjusted for 
inflation) in any one year. Therefore, FMCSA is not required either to 
consult with elected State officials or to comply with other 
requirements of this statute.

Executive Order 13132 (Federalism Assessment)

    This final rule has been analyzed in accordance with the principles 
and criteria contained in Executive Order 13132, dated August 4, 1999 
(64 FR 43255, Aug. 10, 1999). The requirements being promulgated in 
this final rule are required by statute. Although the regulation 
implementing sec. 4114 of SAFETEA-LU may appear, from a technical 
standpoint, to preempt State law, the Agency promulgates this rule 
exercising no discretion, since the statutory provisions are self-
executing. Based on the preemptive effect of sec. 4114, FMCSA has 
consulted with elected State officials regarding the effects of this 
final rule. However, since this rule is not significant as defined by 
Executive Order 12866, no Federalism Summary Impact statement is 
required.

Executive Order 12372 (Intergovernmental Review)

    The regulations implementing Executive Order 12372 regarding 
intergovernmental consultation on Federal programs and activities do 
not apply to the programs covered by this final rule.

Paperwork Reduction Act

    Under the Paperwork Reduction Act of 1995 (PRA) (44 U.S.C. 3501-
3520), a Federal agency must obtain approval from OMB for each 
collection of information it conducts, sponsors, or requires through 
regulations. FMCSA analyzed each provision of this final rule and 
determined that certain provisions require changes to existing 
information collections (ICs). The IC revisions will require approval 
by OMB before taking effect. The affected ICs are titled ``Motor 
Carrier Safety Assistance Program'' (2126-0010), and ``Transportation 
of Household Goods; Consumer Protection'' (2126-0025).
    In November 2006, the Agency published a Federal Register notice 
providing a 60-day comment period on its intent to request OMB approval 
of the revised ICs (71 FR 67198, Nov. 20, 2006). This notice sought 
comment on the revisions to the two ICs referred to above, as well as a 
third--``Commercial Driver Licensing and Test Standards'' (2126-0011). 
FMCSA has since determined that this final rule will not affect the 
currently approved information collection in this third item.
    These two ICs affected by this final rule, and the total annual 
burden hours estimated by FMCSA, are as follows:
    OMB Control Number: 2126-0010.
    Title: Motor Carrier Safety Assistance Program.
    Type of Review: Revision of a currently approved collection.
    Respondents: State Grant Applicants.
    Number of Respondents: 52 (per quarter).
    Estimated Time per Response: 80 hours.
    Expiration Date of OMB Approval: November 30, 2007.
    Frequency: Quarterly (reports) and annually (grant application).
    Total Annual Burden: 11,232 hours.
    Form Numbers: MCSAP-1, MCSAP-2, and MCSAP-2A.
    OMB Control Number: 2126-0025.
    Title: Transportation of Household Goods; Consumer Protection.
    Type of Review: Revision of a currently approved collection.
    Respondents: Motor Carriers and Individual Shippers of Household 
Goods.
    Number of Respondents: 5,400.
    Estimated Time per Response: Varies from 30 minutes to distribute 
consumer publication to 150 minutes to conduct physical survey.
    Expiration Date of OMB Approval: August 31, 2008.
    Frequency: On occasion.
    Total Annual Burden: 4,552,737 hours.
    Form Number: MCSA-2P.
    The Agency received one comment in response to the November notice, 
which contained no substantive remarks pertaining to any of the 
information collections, and consequently was not incorporated into the 
supporting statement. Subsequently in April 2007, FMCSA published in 
the Federal Register a notice requesting public comment to OMB within 
30 days on the requested approval of the IC revisions (72 FR 20164, 
April 23, 2007).

National Environmental Policy Act

    The Agency analyzed this final rule for the purpose of the National 
Environmental Policy Act of 1969 (NEPA) (42 U.S.C. 4321 et seq.), and 
determined under FMCSA environmental procedures Order 5610.1, published 
March 1, 2004 (69 FR 9680), that all except two provisions of the rule 
are categorically excluded (CE) based on Appendix 2 of the FMCSA Order. 
Not categorically excluded from environmental analysis are (1) the 
requirements in part 385 concerning the ``accident record and safety 
inspection record'' of motor carrier operations in commerce and the 
``accident record and safety inspection record'' of interstate carriers 
while operating in Canada and/or Mexico (sec. 4114 of SAFETEA-LU) and 
(2) the hours-of-service exemptions in part 395 for operators of CMVs 
in certain defined operations (sec. 4130, 4132, 4133, and 4146 of 
SAFETEA-LU).
    FMCSA conducted an Environmental Assessment (EA) to analyze the 
impacts of these two provisions. The Agency's EA finds that the 
provisions collectively will have no significant environmental impacts. 
It includes a chart indicating whether or not the provisions are 
categorically excluded from environmental analysis and the CE for each, 
where applicable.
    Based upon the EA findings, no Environmental Impact Statement is 
required for this rule. The Agency prepared a Finding of No Significant 
Impact (FONSI) in accordance with the procedures in FMCSA Order 5610.1 
and NEPA requirements and guidance.
    We also analyzed this action under section 176(c) of the Clean Air 
Act (CAA), as amended (42 U.S.C. 7401 et seq.), and implementing 
regulations promulgated by the Environmental Protection Agency. 
Approval of this action is exempt from the CAA's General Conformity 
requirement since it implements an administrative action or 
organizational change via the rulemaking process. See 40 CFR 
93.153(c)(2). This action will not result in any significant emissions 
increase, nor does it have any potential to result in emissions that 
are above the general conformity rule's de minimis emission threshold 
levels. Moreover, it is reasonably foreseeable that the rule will not 
increase total commercial motor vehicle mileage, change the routing of 
commercial motor vehicles, change how commercial motor vehicles 
operate, or change the commercial motor vehicle fleet-mix of motor 
carriers. While the exemptions from the hours-of-service regulations in 
part 395 for drivers in certain defined operations may slightly

[[Page 36769]]

increase overall commercial motor vehicle mileage, this change should 
likewise be de minimis.

Executive Order 13211 (Energy Supply, Distribution, or Use)

    FMCSA analyzed this action under Executive Order 13211, Actions 
Concerning Regulations That Significantly Affect Energy Supply, 
Distribution, or Use. This action is not a significant energy action 
within the meaning of section 4(b) of the Executive Order because as a 
procedural action it is not economically significant and will not have 
a significant adverse effect on the supply, distribution, or use of 
energy.

Executive Order 12898 (Environmental Justice)

    FMCSA evaluated the environmental effects of this final rule in 
accordance with Executive Order 12898 and determined that there are no 
environmental justice issues associated with its provisions nor any 
collective environmental impact resulting from its promulgation. 
Environmental justice issues would be raised if there were 
``disproportionate'' and ``high and adverse impact'' on minority or 
low-income populations. None of the alternatives analyzed in the 
Agency's EA, discussed under National Environmental Policy Act, would 
result in high and adverse environmental impacts.

Executive Order 13045 (Protection of Children)

    FMCSA has analyzed this action under Executive Order 13045, 
Protection of Children from Environmental Health Risks and Safety 
Risks. This rule is not economically significant and does not create an 
environmental risk to health or safety that would disproportionately 
affect children. Therefore, we have determined the rule is not a 
``covered regulatory action'' as defined under Executive Order 13045.

Executive Order 12988 (Civil Justice Reform)

    This action meets applicable standards in sections 3(a) and 3(b)(2) 
of Executive Order 12988, Civil Justice Reform, to minimize litigation, 
eliminate ambiguity, and reduce burden.

Executive Order 12630 (Taking of Private Property)

    This rule will not effect a taking of private property or otherwise 
have takings implications under Executive Order 12630, Governmental 
Actions and Interference with Constitutionally Protected Property 
Rights.

List of Subjects

49 CFR Part 350

    Grant programs--transportation, Highway safety, Motor carriers, 
Motor vehicle safety, Reporting and recordkeeping requirements.

49 CFR Part 375

    Advertising, Arbitration, Consumer protection, Freight, Highways 
and roads, Insurance, Motor carriers, Moving of household goods, 
Reporting and recordkeeping requirements.

49 CFR Part 383

    Administrative practice and procedure, Commercial driver's license, 
Commercial motor vehicles, Highway safety, Motor carriers.

49 CFR Part 384

    Administrative practice and procedure, Commercial driver's license, 
Commercial motor vehicles, Highway safety, Motor carriers.

49 CFR Part 385

    Administrative practice and procedure, Highway safety, Mexico, 
Motor carriers, Motor vehicle safety, Reporting and recordkeeping 
requirements.

49 CFR Part 386

    Administrative practice and procedure, Brokers, Freight forwarders, 
Hazardous materials transportation, Highway safety, Motor carriers, 
Motor vehicle safety, Penalties.

49 CFR Part 390

    Highway safety, Intermodal transportation, Motor carriers, Motor 
vehicle safety, Reporting and recordkeeping requirements.

49 CFR Part 395

    Highway safety, Motor carriers, Reporting and recordkeeping 
requirements.

0
In consideration of the foregoing, FMCSA amends 49 CFR parts 350, 375, 
383, 384, 385, 386, 390, and 395 as set forth below:

PART 350--COMMERCIAL MOTOR CARRIER SAFETY ASSISTANCE PROGRAM

0
1. The authority citation for part 350 is revised to read as follows:

    Authority: 49 U.S.C. 13902, 31100-31104, 31108, 31136, 31140-
31141, 31144, 31161, 31310-31311, 31502; and 49 CFR 1.73.


0
2. Amend Sec.  350.105 to revise the definition for ``High Priority 
Activity Funds'' and to add, in correct alphabetical placement, a 
definition for ``New Entrant Funds'' to read as follows:


Sec.  350.105  What definitions are used in this part?

* * * * *
    High Priority Activity Funds means funds provided for carrying out 
high-priority activities and projects that improve CMV safety and 
compliance with CMV safety regulations (including activities and 
projects that are national in scope), increase public awareness and 
education, demonstrate new technologies, and reduce the number and rate 
of accidents involving CMVs.
* * * * *
    New Entrant Funds means funds provided to State and local 
governments to conduct safety audits on New Entrant motor carriers 
under the New Entrant Safety Assurance Program.
* * * * *

0
3. Revise Sec.  350.111 to read as follows:


Sec.  350.111  What constitutes traffic enforcement for the purpose of 
the MCSAP?

    Traffic enforcement means enforcement activities of State or local 
officials, including the stopping of vehicles operating on highways, 
streets, or roads for moving violations of State or local motor vehicle 
or traffic laws (e.g., speeding, following too closely, reckless 
driving, improper lane changes).

0
4. Amend Sec.  350.201 to revise paragraphs (b), (f), (s), and (t)(1) 
and to add paragraphs (w), (x), and (y) to read as follows:


Sec.  350.201  What conditions must a State meet to qualify for Basic 
Program Funds?

* * * * *
    (b) Implement performance-based activities, including deployment of 
technology to enhance the efficiency and effectiveness of CMV safety 
programs.
* * * * *
    (f) Maintain the aggregate expenditure of funds by the State and 
its political subdivisions, exclusive of Federal funds, for CMV safety 
programs eligible for funding under this part, at a level at least 
equal to the average level of expenditure for the 3 full fiscal years 
beginning after October 1 of the year 5 years prior to the beginning of 
each Government fiscal year.
* * * * *
    (s) Establish a program to ensure that accurate, complete, and 
timely motor carrier safety data are collected and reported, and ensure 
the State's participation in a national motor carrier

[[Page 36770]]

safety data correction system prescribed by FMCSA.
* * * * *
    (t)(1) Enforce registration (i.e., operating authority) 
requirements under 49 U.S.C. 13902, 49 CFR part 365, 49 CFR part 368, 
and 49 CFR 392.9a by prohibiting the operation of (i.e., placing out of 
service) any vehicle discovered to be operating without the required 
operating authority or beyond the scope of the motor carrier's 
operating authority.
* * * * *
    (w) Include in the training manual for the licensing examination to 
drive a CMV and the training manual for the licensing examination to 
drive a non-CMV information on best practices for driving safely in the 
vicinity of non-CMVs and CMVs.
    (x) Conduct comprehensive and highly visible traffic enforcement 
and CMV safety inspection programs in high-risk locations and 
corridors.
    (y) Except in the case of an imminent or obvious safety hazard, 
ensure that an inspection of a vehicle transporting passengers for a 
motor carrier of passengers is conducted at a station, terminal, border 
maintenance facility, destination, or other location where a motor 
carrier may make a planned stop.

0
5. Amend Sec.  350.211 to revise paragraphs 8., 11., and 13. through 
17., and to add paragraphs 18., 19., 20., and 21. to read as follows:


Sec.  350.211  What is the format of the certification required by 
Sec.  350.209?

* * * * *
    8. The State must maintain the average aggregate expenditure of 
the State and its political subdivisions, exclusive of Federal 
assistance and State matching funds, for CMV safety programs 
eligible for funding under the Basic program at a level at least 
equal to the average level of expenditure for the 3 full fiscal 
years beginning after October 1 of the year 5 years prior to the 
beginning of each Government fiscal year. These expenditures must 
cover at least the following four program areas, as applicable:
    a. Motor carrier safety programs in accordance with 49 CFR 
350.109.
    b. Size and weight enforcement programs in accordance with 49 
CFR 350.309(c)(1).
    c. Drug interdiction enforcement programs in accordance with 49 
CFR 350.309(c)(2).
    d. Traffic safety programs in accordance with 49 CFR 350.309(d).
* * * * *
    11. The State will establish a program to provide FMCSA with 
accurate, complete, and timely reporting of motor carrier safety 
information that includes documenting the effects of the State's CMV 
safety programs; participate in a national motor carrier safety data 
correction program (DataQs); participate in SAFETYNET; and ensure 
information is exchanged in a timely manner with other States.
* * * * *
    13. The State has undertaken efforts to emphasize and improve 
enforcement of State and local traffic laws as they pertain to CMV 
safety.
    14. The State will ensure that MCSAP agencies have departmental 
policies stipulating that roadside inspections will be conducted at 
locations that are adequate to protect the safety of drivers and 
enforcement personnel.
    15. The State will ensure that requirements relating to the 
licensing of CMV drivers are enforced, including checking the status 
of CDLs.
    16. The State will ensure that MCSAP-funded personnel, including 
sub-grantees, meet the minimum Federal standards set forth in 49 CFR 
part 385, subpart C for training and experience of employees 
performing safety audits, compliance reviews, or driver/vehicle 
roadside inspection.
    17. The State will enforce operating authority requirements 
under 49 CFR 392.9a by prohibiting the operation of any vehicle 
discovered to be operating without the required operating authority 
or beyond the scope of the motor carrier's operating authority.
    18. The State will enforce the financial responsibility 
requirements under 49 CFR part 387 as applicable to CMVs subject to 
the provisions of 49 CFR 392.9a.
    19. The State will include, in the training manual for the 
licensing examination to drive a non-CMV and the training manual for 
the licensing examination to drive a CMV, information on best 
practices for safe driving in the vicinity of noncommercial and 
commercial motor vehicles.
    20. The State will conduct comprehensive and highly visible 
traffic enforcement and CMV safety inspection programs in high-risk 
locations and corridors.
    21. The State will ensure that, except in the case of an 
imminent or obvious safety hazard, an inspection of a vehicle 
transporting passengers for a motor carrier of passengers is 
conducted at a station, terminal, border crossing, maintenance 
facility, destination, or other location where motor carriers may 
make planned stops.

Date-------------------------------------------------------------------
Signature--------------------------------------------------------------


Sec.  350.217  [Removed]

0
6. Remove Sec.  350.217.

0
7. Amend Sec.  350.301 to revise paragraph (a) to read as follows:


Sec.  350.301  What level of effort must a State maintain to qualify 
for MCSAP funding?

    (a) The State must maintain the average aggregate expenditure of 
the State and its political subdivisions, exclusive of Federal funds 
and State matching funds, for CMV safety programs eligible for funding 
under this part at a level at least equal to the average level of 
expenditure for the 3 full fiscal years beginning after October 1 of 
the year 5 years prior to the beginning of each Government fiscal year.
* * * * *

0
8. Amend Sec.  350.309 to revise paragraph (c) and to add paragraph (d) 
to read as follows:


Sec.  350.309  What activities are eligible for reimbursement under the 
MCSAP?

* * * * *
    (c) The following two activities, when accompanied by an 
appropriate North American Standard Inspection and inspection report:
    (1) Enforcement of CMV size and weight limitations at locations 
other than fixed weight facilities; at specific locations such as steep 
grades or mountainous terrains where the weight of a CMV can 
significantly affect the safe operation of the vehicle; or at ports 
where intermodal shipping containers enter and leave the United States.
    (2) Detection of the unlawful presence of a controlled substance in 
a CMV or on the person of any occupant (including the operator) of the 
vehicle.
    (d) Documented enforcement of State traffic laws and regulations 
designed to promote the safe operation of CMVs, including documented 
enforcement of such laws and regulations relating to non-CMVs when 
necessary to promote the safe operation of CMVs, if the number of motor 
carrier safety activities (including roadside safety inspections) 
conducted in the State is maintained at a level at least equal to the 
average level of such activities conducted in the State in fiscal years 
2003, 2004, and 2005. The State may not use more than 5 percent of its 
MCSAP Basic Program funds for enforcement activities relating to non-
CMVs unless the Administrator determines that a higher percentage will 
result in significant increases in CMV safety.

0
9. Amend Sec.  350.313 to revise paragraphs (a)(1), (a)(2), and (c) and 
to add paragraph (d) to read as follows:


Sec.  350.313  How are MCSAP funds allocated?

    (a) * * *
    (1) An amount of the MCSAP funds appropriated for each fiscal year 
up to the maximum allowed by law may be distributed for High Priority 
Activities and Projects at the discretion of the Administrator.
    (2) An amount of the MCSAP funds appropriated for each fiscal year 
up to the maximum allowed by law may be distributed for safety audits 
of New Entrant motor carriers under the New Entrant Safety Assurance 
Program at the discretion of the Administrator.
* * * * *

[[Page 36771]]

    (c) The funding provided under paragraph (a)(1) of this section may 
be made available to State agencies, local governments, and 
organizations representing government agencies or officials that use 
and train qualified officers and employees in coordination with State 
motor vehicle safety agencies. At least 90 percent of the amount set 
aside in a fiscal year shall be awarded in grants to State agencies and 
local government agencies.
    (d) The funding provided under paragraph (a)(2) of this section may 
be made available to State and local governments. If the Administrator 
determines that a State or local government is not able to use 
government employees to conduct New Entrant motor carrier audits, the 
Administrator may use the funds under paragraph (a)(2) to conduct 
audits for such State or local governments.

0
10. Amend Sec.  350.319 to revise paragraph (d) and to add paragraph 
(e) to read as follows:


Sec.  350.319  What are permissible uses of High Priority Activity 
Funds?

* * * * *
    (d) The Administrator may set aside an amount of MCSAP funding up 
to the maximum allowed by law for these projects and activities in each 
fiscal year.
    (e) FMCSA will reimburse up to 80 percent of the eligible costs in 
the administration of an approved project plan, except that approved 
public information and education activities may be reimbursed up to 100 
percent of the eligible costs.

0
11. Revise Sec.  350.321 to read as follows:


Sec.  350.321  What are permissible uses of New Entrant Funds?

    (a) These funds may be used to conduct safety audits on New Entrant 
motor carriers under the New Entrant Safety Assurance Program.
    (b) New Entrant funds will be allocated, at the discretion of 
FMCSA, to State and local governments.
    (c) FMCSA will notify States when such funds are available.
    (d) The Administrator may designate up to the maximum amount 
allowed by law of MCSAP funding for these projects in each fiscal year. 
FMCSA will reimburse up to 100 percent of the eligible costs in the 
administration of an approved project plan.

0
12. Amend Sec.  350.329 to revise the heading and republish paragraphs 
(a) and (b) to read as follows:


Sec.  350.329  How may a State or local agency qualify for High 
Priority or New Entrant Funds?

    (a) States must meet the requirements of Sec.  350.201, as 
applicable.
    (b) Local agencies must meet the following nine conditions:
    (1) Prepare a proposal in accordance with Sec.  350.213, as 
applicable.
    (2) Coordinate the proposal with the State lead MCSAP agency to 
ensure the proposal is consistent with State and national CMV safety 
program priorities.
    (3) Certify that your local jurisdiction has the legal authority, 
resources, and trained and qualified personnel necessary to perform the 
functions specified in the proposal.
    (4) Designate a person who will be responsible for implementation, 
reporting, and administering the approved proposal and will be the 
primary contact for the project.
    (5) Agree to fund up to 20 percent of the proposed request.
    (6) Agree to prepare and submit all reports required in connection 
with the proposal or other conditions of the grant.
    (7) Agree to use the forms and reporting criteria required by the 
State lead MCSAP agency and/or the FMCSA to record work activities to 
be performed under the proposal.
    (8) Certify that the local agency will impose sanctions for 
violations of CMV and driver laws and regulations that are consistent 
with those of the State.
    (9) Certify participation in national data bases appropriate to the 
project.

PART 375--TRANSPORTATION OF HOUSEHOLD GOODS IN INTERSTATE COMMERCE; 
CONSUMER PROTECTION REGULATIONS

0
13. The authority citation for part 375 is revised to read as follows:

    Authority: 5 U.S.C. 553; 49 U.S.C. 13102, 13301, 13704, 13707, 
14104, 14706, 14708; and 49 CFR 1.73.


0
14. Revise Sec.  375.101 to read as follows:


Sec.  375.101  Who must follow the regulations in this part?

    You, a household goods motor carrier engaged in the interstate 
transportation of household goods, must follow the regulations in this 
part when offering your services to individual shippers. You are 
subject to this part only when you transport household goods for 
individual shippers by motor vehicle in interstate commerce. Interstate 
commerce is defined in Sec.  390.5 of this subchapter.

0
15. Amend Sec.  375.103 to revise the definitions of ``individual 
shipper'' and ``you and your'' and to add, in correct alphabetical 
placement, the definition for ``household goods motor carrier'' to read 
as follows:


Sec.  375.103  What are the definitions of terms used in this part?

* * * * *
    Household goods motor carrier means--
    (1) In general, a motor carrier that, in the ordinary course of its 
business of providing transportation of household goods, offers some or 
all of the following additional services:
    (i) Binding and nonbinding estimates;
    (ii) Inventorying;
    (iii) Protective packing and unpacking of individual items at 
personal residences;
    (iv) Loading and unloading at personal residences.
    (2) The term includes any person considered to be a household goods 
motor carrier under regulations, determinations, and decisions of the 
Federal Motor Carrier Safety Administration in effect on the date of 
enactment of the Household Goods Mover Oversight Enforcement and Reform 
Act of 2005 (August 10, 2005).
    (3) The term does not include any motor carrier providing 
transportation of household goods in containers or trailers that are 
entirely loaded and unloaded by an individual other than an employee or 
agent of the motor carrier.
    Individual shipper means any person who--
    (1) Is the shipper, consignor, or consignee of a household goods 
shipment;
    (2) Is identified as the shipper, consignor, or consignee on the 
face of the bill of lading;
    (3) Owns the goods being transported; and
    (4) Pays his or her own tariff transportation charges.
* * * * *
    You and your means a household goods motor carrier engaged in the 
interstate transportation of household goods and its household goods 
agents.

0
16. Amend Sec.  375.201 to revise paragraph (b), to add paragraph (c), 
to redesignate paragraphs (c) and (d) as paragraphs (d) and (e), and to 
revise newly designated paragraph (d), to read as follows:


Sec.  375.201  What is my liability for loss and damage when I accept 
goods from an individual shipper?

* * * * *
    (b) Full Value Protection Obligation--In general, your liability is 
for the household goods that are lost, damaged, destroyed, or otherwise 
not delivered to

[[Page 36772]]

the final destination in an amount equal to the replacement value of 
the household goods. The maximum amount is the declared value of the 
shipment. The declared value is subject to rules issued by the Surface 
Transportation Board (STB) and applicable tariffs.
    (c) If the shipper waives, in writing, your liability for the full 
value of the household goods, then you are liable for loss of, or 
damage to, any household goods to the extent provided in the STB 
released rates order. Contact the STB for a current copy of the 
Released Rates of Motor Carrier Shipments of Household Goods. The rate 
may be increased annually by the motor carrier based on the U.S. 
Department of Commerce's Cost of Living Adjustment.
    (d) As required by Sec.  375.303(g), you may have additional 
liability if you sell liability insurance and fail to issue a copy of 
the insurance policy or other appropriate evidence of insurance.
    (e) You must, in a clear and concise manner, disclose to the 
individual shipper the limits of your liability.

0
17. Amend Sec.  375.211 to revise the introductory text to paragraph 
(a), paragraph (a)(7), and paragraph (a)(8) to read as follows:


Sec.  375.211  Must I have an arbitration program?

    (a) You must have an arbitration program for individual shippers to 
resolve disputes about property loss and damage and disputes about 
whether carrier charges in addition to those collected at delivery must 
be paid. You must establish and maintain an arbitration program with 
the following 11 minimum elements:
* * * * *
    (7) Arbitration must be binding for claims of $10,000 or less, if 
the individual shipper requests arbitration.
    (8) Arbitration must be binding for claims of more than $10,000, if 
the individual shipper requests arbitration and the carrier agrees to 
it.
* * * * *

0
18. Revise Sec.  375.213 to read as follows:


Sec.  375.213  What information must I provide to a prospective 
individual shipper?

    (a) When you provide the written estimate to a prospective 
individual shipper, you must also provide the individual shipper with a 
copy of Department of Transportation publication FMCSA-ESA-03-005 (or 
its successor publication) entitled ``Ready to Move?''.
    (b) Before you execute an order for service for a shipment of 
household goods, you must furnish to your prospective individual 
shipper all five of the following documents:
    (1) The contents of appendix A of this part, entitled ``Your Rights 
and Responsibilities When You Move'' (Department of Transportation 
publication FMCSA-ESA-03-006, or its successor publication).
    (2) A concise, easy-to-read, accurate estimate of your charges.
    (3) A notice of the availability of the applicable sections of your 
tariff for the estimate of charges, including an explanation that 
individual shippers may examine these tariff sections or have copies 
sent to them upon request.
    (4) A concise, easy-to-read, accurate summary of your arbitration 
program.
    (5) A concise, easy-to-read, accurate summary of your customer 
complaint and inquiry handling procedures. Included in this description 
must be both of the following two items:
    (i) The main telephone number the individual shipper may use to 
communicate with you.
    (ii) A clear and concise statement concerning who must pay for 
telephone calls.
    (c) To comply with paragraph (b)(1) of this section, you must 
ensure that the text and general order of the document you produce and 
distribute to prospective individual shippers are consistent with the 
text and general order of appendix A to this part. The following three 
items also apply:
    (1) If we, the Federal Motor Carrier Safety Administration, choose 
to modify the text or general order of appendix A, we will provide the 
public appropriate notice in the Federal Register and an opportunity 
for comment as required by part 389 of this chapter before making you 
change anything.
    (2) If you publish the document, you may choose the dimensions of 
the publication as long as the type font size is 10 points or larger 
and the size of the booklet is at least as large as 36 square inches 
(232 square centimeters).
    (3) If you publish the document, you may choose the color and 
design of the front and back covers of the publication. The following 
words must appear prominently on the front cover in 12-point or larger 
bold or full-faced type: ``Your Rights and Responsibilities When You 
Move. Furnished by Your Mover, as Required by Federal Law.'' You may 
substitute your name or trade name in place of ``Your Mover'' if you 
wish (for example, Furnished by XYZ Van Lines, as Required by Federal 
Law).
    (d) Paragraphs (c)(2) and (c)(3) of this section do not apply to 
exact copies of appendix A published in the Federal Register or the 
Code of Federal Regulations.

0
19. Amend Sec.  375.401 by redesignating paragraphs (a) through (g) as 
paragraphs (b) through (h), adding paragraph (a), and revising 
redesignated paragraphs (b) and (e) to read as follows:


Sec.  375.401  Must I conduct a physical survey and provide an estimate 
of the charges?

    (a) You must conduct a physical survey of the household goods to be 
transported and provide the prospective individual shipper with a 
written estimate, based on the physical survey, of the charges for the 
transportation and all related services. There are two exceptions to 
the requirement to conduct a physical survey:
    (1) If the household goods are located beyond a 50-mile radius of 
the location of the household goods motor carrier's agent preparing the 
estimate, the requirement to base the estimate on a physical survey 
does not apply.
    (2) An individual shipper may elect to waive the physical survey. 
The waiver agreement is subject to the following requirements:
    (i) It must be in writing;
    (ii) It must be signed by the shipper before the shipment is 
loaded; and
    (iii) The household goods motor carrier must retain a copy of the 
waiver agreement as an addendum to the bill of lading with the 
understanding that the waiver agreement will be subject to the same 
record retention requirements that apply to bills of lading, as 
provided in Sec.  375.505(d).
    (b) Before you execute an order for service for a shipment of 
household goods for an individual shipper, you must provide a written 
estimate of the total charges and indicate whether it is a binding or a 
non-binding estimate, as follows:
    (1) A binding estimate is an agreement made in advance with your 
individual shipper. It guarantees the total cost of the move based upon 
the quantities and services shown on your estimate, which shall be 
based on the physical survey of the household goods, if required. You 
may impose a charge for providing a written binding estimate. The 
binding estimate must indicate that you and the shipper are bound by 
the charges.
    (2) A non-binding estimate is what you believe the total cost will 
be for the move, based upon both the estimated weight or volume of the 
shipment and the accessorial services requested and the physical survey 
of the household goods, if required. A non-binding estimate is not 
binding on you. You will base the final charges upon the actual weight 
of the individual shipper's shipment and the tariff provisions in

[[Page 36773]]

effect. You may not impose a charge for providing a non-binding 
estimate.
* * * * *
    (e) You must determine charges for any accessorial services such as 
elevators, long carries, etc., before preparing the order for service 
and the bill of lading for binding or non-binding estimates. If you 
fail to ask the shipper about such charges and fail to determine such 
charges before preparing the order for service and the bill of lading, 
you must deliver the goods and bill the shipper after 30 days for the 
additional charges, except that you may collect at delivery charges for 
impracticable operations that do not exceed 15 percent of all other 
charges due at delivery.
* * * * *

0
20. Amend Sec.  375.403 to revise paragraphs (a) and (b) to read as 
follows:


Sec.  375.403  How must I provide a binding estimate?

    (a) You may provide a guaranteed binding estimate of the total 
shipment charges to the individual shipper, so long as it is provided 
for in your tariff. The individual shipper must pay the amount for the 
services included in your estimate. You must comply with the following 
11 requirements:
    (1) You must base the binding estimate on the physical survey 
unless one of the exceptions provided in Sec.  375.401(a)(1) and (2) 
applies.
    (2) You must provide the binding estimate in writing to the 
individual shipper or other person responsible for payment of the 
freight charges.
    (3) You must retain a copy of each binding estimate as an 
attachment to be made an integral part of the bill of lading contract.
    (4) You must clearly indicate upon each binding estimate's face 
that the estimate is binding upon you and the individual shipper. Each 
binding estimate must also clearly indicate on its face that the 
charges shown apply only to those services specifically identified in 
the estimate.
    (5) You must clearly describe binding-estimate shipments and all 
services you are providing.
    (6) If it appears an individual shipper has tendered additional 
household goods or requires additional services not identified in the 
binding estimate, you are not required to honor the estimate. If an 
agreement cannot be reached as to the price or service requirements for 
the additional goods or services, you are not required to service the 
shipment. However, if you do service the shipment, before loading the 
shipment you must do one of the following three things:
    (i) Reaffirm your binding estimate.
    (ii) Negotiate a revised written binding estimate listing the 
additional household goods or services.
    (iii) Agree with the individual shipper, in writing, that both of 
you will consider the original binding estimate as a non-binding 
estimate subject to Sec.  375.405.
    (7) Once you load a shipment, failure to execute a new binding 
estimate or a non-binding estimate signifies you have reaffirmed the 
original binding estimate. You may not collect more than the amount of 
the original binding estimate, except as provided in paragraphs (a)(8) 
and (9) of this section.
    (8) If you believe additional services are necessary to properly 
service a shipment after the bill of lading has been issued, you must 
inform the individual shipper what the additional services are before 
performing those services. You must allow the shipper at least one hour 
to determine whether he or she wants the additional services performed. 
If the individual shipper agrees to pay for the additional services, 
you must execute a written attachment to be made an integral part of 
the bill of lading contract and have the individual shipper sign the 
written attachment. This may be done through fax transmissions; e-mail; 
overnight courier; or certified mail, return receipt requested. You 
must bill the individual shipper for the additional services after 30 
days from delivery. If the individual shipper does not agree to pay the 
additional services, the carrier should perform only those additional 
services as are required to complete the delivery, and bill the 
individual shipper for the additional services after 30 days from 
delivery, except that you may collect at delivery charges for 
impracticable operations that do not exceed 15 percent of all other 
charges due at delivery.
    (9) If the individual shipper requests additional services after 
the bill of lading has been issued, you must inform the individual 
shipper of the additional charges involved. You may require full 
payment at destination for these additional services and for 100 
percent of the original binding estimate. If applicable, you also may 
require payment at delivery of charges for impracticable operations (as 
defined in your carrier tariff) not to exceed 15 percent of all other 
charges due at delivery. You must bill and collect from the individual 
shipper any applicable charges not collected at delivery in accordance 
with subpart H of this part.
    (10) Failure to relinquish possession of a shipment upon the 
individual shipper's offer to pay the binding estimate amount (or, in 
the case of a partial delivery, a prorated percentage of the binding 
estimate as set forth in paragraph (a)(11) of this section) plus 
charges for any additional services requested by the shipper after the 
bill of lading has been issued and charges, if applicable, for 
impracticable operations (subject to a maximum amount as set forth in 
paragraph 9 of this section), constitutes a failure to transport a 
shipment with ``reasonable dispatch'' and subjects you to cargo delay 
claims pursuant to part 370 of this chapter.
    (11) If you make only a partial delivery of the shipment, you may 
not demand upon delivery full payment of the binding estimate. You may 
demand only a prorated percentage of the binding estimate. The prorated 
percentage must be the percentage of the weight of that portion of the 
shipment delivered relative to the total weight of the shipment. For 
example, if you deliver only 2,500 pounds of a shipment weighing 5,000 
pounds, you may demand payment at destination for only 50 percent of 
the binding estimate.
    (b) In accordance with Sec.  375.401(a), you may impose a charge 
for providing a written binding estimate. If you do not provide a 
binding estimate to an individual shipper, you must provide a non-
binding estimate in accordance with Sec.  375.405.
* * * * *

0
21. Amend Sec.  375.405 to revise paragraphs (b)(1), (b)(2), (b)(5), 
(b)(8), (b)(9) and (b)(10) to read as follows:


Sec.  375.405  How must I provide a non-binding estimate?

* * * * *
    (b) * * *
    (1) You must provide reasonably accurate non-binding estimates 
based upon both the estimated weight or volume of the shipment and 
services required and the physical survey of the household goods, if 
required. If you provide a shipper with an estimate based on volume 
that will later be converted to a weight-based rate, you must provide 
the shipper an explanation in writing of the formula used to calculate 
the conversion to weight.
    (2) You must explain to the individual shipper that final charges 
calculated for shipments moved on non-binding estimates will be those 
appearing in your tariffs applicable to the transportation. You must 
explain that these final charges may exceed the approximate costs 
appearing in your estimate.
* * * * *
    (5) You must clearly indicate on the face of a non-binding estimate 
that the

[[Page 36774]]

estimate is not binding upon you and the charges shown are the 
approximate charges to be assessed for the service identified in the 
estimate. The estimate must clearly state that the shipper will not be 
required to pay more than 110 percent of the non-binding estimate at 
the time of delivery.
* * * * *
    (8) Once you load a shipment, failure to execute a new non-binding 
estimate signifies you have reaffirmed the original non-binding 
estimate. You may not collect more than 110 percent of the amount of 
the original non-binding estimate at destination, except as provided in 
paragraphs (b)(9) and (10) of this section.
    (9) If you believe additional services are necessary to properly 
service a shipment after the bill of lading has been issued, you must 
inform the individual shipper what the additional services are before 
performing those services. You must allow the shipper at least one hour 
to determine whether he or she wants the additional services performed. 
If the individual shipper agrees to pay for the additional services, 
you must execute a written attachment to be made an integral part of 
the bill of lading contract and have the individual shipper sign the 
written attachment. This may be done through fax transmissions; e-mail; 
overnight courier; or certified mail, return receipt requested. You 
must bill the individual shipper for the additional services after 30 
days from delivery. If the individual shipper does not agree to pay the 
additional services, the carrier should perform only those additional 
services as are required to complete the delivery, and bill the 
individual shipper for the additional services after 30 days from 
delivery, except that you may collect at delivery charges for 
impracticable operations that do not exceed 15 percent of all other 
charges due at delivery.
    (10) If the individual shipper requests additional services after 
the bill of lading has been issued, you must inform the individual 
shipper of the additional charges involved. You may require full 
payment at destination for these additional services and (unless you 
make only a partial delivery, in which case you must collect a prorated 
percentage of the original non-binding estimate as set forth in Sec.  
375.407(c) of this part) for up to 110 percent of the original non-
binding estimate. If applicable, you also may require payment at 
delivery of charges for impracticable operations (as defined in your 
carrier tariff) not to exceed 15 percent of all other charges due at 
delivery. You must bill and collect from the individual shipper any 
applicable charges not collected at delivery in accordance with subpart 
H of this part.
* * * * *

0
22. Revise Sec.  375.407 to read as follows:


Sec.  375.407  Under what circumstances must I relinquish possession of 
a collect-on-delivery shipment transported under a non-binding 
estimate?

    (a) If an individual shipper pays you up to 110 percent of the non-
binding estimate on a collect-on-delivery shipment (or, in the case of 
a partial delivery, a prorated percentage of the non-binding estimate 
as set forth in paragraph (c) of this section), you must relinquish 
possession of the shipment at the time of delivery. If there are either 
charges for any additional services requested by the shipper after the 
bill of lading has been issued and/or charges, if applicable, for 
impracticable operations (subject to a maximum amount as set forth in 
paragraph (d) of this section), and the shipper also pays you for such 
charges, you must relinquish possession of the shipment at the time of 
delivery. You must accept the form of payment agreed to at the time of 
estimate, unless the shipper agrees in writing to a change in the form 
of payment.
    (b) Failure to relinquish possession of a shipment after the 
individual shipper offers to pay you up to 110 percent of the 
approximate costs of a non-binding estimate plus any additional charges 
described in paragraph (a) of this section constitutes a failure to 
transport a shipment with ``reasonable dispatch'' and subjects you to 
cargo delay claims pursuant to part 370 of this chapter.
    (c) If you make only a partial delivery of the shipment, you may 
not demand full payment of the non-binding estimate. You may demand at 
delivery only a prorated percentage of the non-binding estimate (or a 
prorated percentage of an amount up to 110 percent of the non-binding 
estimate). The prorated percentage must be the percentage of the weight 
of that portion of the shipment delivered relative to the total weight 
of the shipment. For example, if you deliver only 2,500 pounds of a 
shipment weighing 5,000 pounds, you may demand payment of 50 percent of 
not more than 110 percent of the non-binding estimate.
    (d) You may not demand payment of charges for impracticable 
operations, as defined in your tariff, of more than 15 percent of all 
other charges due at delivery. You must bill and collect from the 
individual shipper charges for impracticable operations not collected 
at delivery in accordance with subpart H of this part.

0
23. Amend Sec.  375.501 to revise paragraph (a)(10) to read as follows:


Sec.  375.501  Must I write up an order for service?

    (a) * * *
    (10) A statement of the declared value of the shipment, which is 
the maximum amount of your liability to the individual shipper under 
your Full Value Protection for the replacement value of any household 
goods that are lost, damaged, destroyed, or otherwise not delivered to 
the final destination. If the individual shipper waives, in writing, 
your Full Value Protection liability, you must include a copy of the 
waiver; the Surface Transportation Board's required released rates 
valuation statement; and the charges, if any, for optional valuation 
coverage (other than Full Value Protection). The released rates may be 
increased annually by the motor carrier based on the U.S. Department of 
Commerce's Cost of Living Adjustment.
* * * * *

0
24. Amend Sec.  375.505 to revise paragraph (b)(12) to read as follows:


Sec.  375.505  Must I write up a bill of lading?

* * * * *
    (b) * * *
    (12) A statement of the declared value of the shipment, which is 
the maximum amount of your liability to the individual shipper under 
your Full Value Protection for the replacement value of any household 
goods that are lost, damaged, destroyed, or otherwise not delivered to 
the final destination. If the individual shipper waives, in writing, 
your Full Value Protection liability for the declared value of the 
household goods, you must include a copy of the waiver; the Surface 
Transportation Board's required released rates valuation statement; and 
the charges, if any, for optional valuation coverage (other than Full 
Value Protection). The released rates may be increased annually by the 
motor carrier based on the U.S. Department of Commerce's Cost of Living 
Adjustment.
* * * * *

0
25. Revise Sec.  375.703 to read as follows:


Sec.  375.703  What is the maximum collect-on-delivery amount I may 
demand at the time of delivery?

    (a) On a binding estimate, the maximum amount is the exact estimate 
of the charges, plus charges for any additional services requested by 
the shipper after the bill of lading has been issued and charges, if 
applicable, for

[[Page 36775]]

impracticable operations as defined in your carrier tariff. The maximum 
amount of charges for impracticable operations you may collect on 
delivery is an amount equal to 15 percent of all other charges due at 
delivery.
    (b) On a non-binding estimate, the maximum amount is 110 percent of 
the non-binding estimate of the charges, plus charges for any 
additional services requested by the shipper after the bill of lading 
has been issued and charges, if applicable, for impracticable 
operations as defined in your carrier tariff. The maximum amount of 
charges for impracticable operations you may collect on delivery is an 
amount equal to 15 percent of all other charges due at delivery.

0
26. Revise Sec.  375.707 to read as follows:


Sec.  375.707  If a shipment is partially lost or destroyed, what 
charges may I collect at delivery?

    (a) (1) If a shipment is partially lost or destroyed, you may 
collect at delivery:
    (i) A prorated percentage of the binding estimate or a prorated 
percentage of up to 110 percent of the non-binding estimate. The 
prorated percentage is equal to the percentage of the weight of that 
portion of the shipment delivered relative to the total weight of the 
shipment. For example, if you deliver only 2,500 pounds of a shipment 
weighing 5,000 pounds, you may demand at destination, as applicable, 
only 50 percent of a binding estimate or 50 percent of not more than 
110 percent of a non-binding estimate;
    (ii) Charges for any additional services requested by the shipper 
after the bill of lading has been issued; and
    (iii) Charges for impracticable operations, if applicable, except 
that such charges must not exceed 15 percent of all other charges due 
at delivery.
    (iv) Any specific valuation charge due.
    (2) You must bill and collect from the individual shipper any 
remaining charges not collected at delivery in accordance with subpart 
H of this part.
    (b) You must determine, at your own expense, the proportion of the 
shipment, based on actual or constructive weight, not lost or destroyed 
in transit.
    (c) You may disregard paragraph (a)(1) of this section if loss or 
destruction was due to an act or omission of the individual shipper.
    (d) The individual shipper's rights are in addition to, and not in 
lieu of, any other rights the individual shipper may have with respect 
to a shipment of household goods you or your agent(s) partially lost or 
destroyed in transit. This applies whether or not the individual 
shipper exercises any rights to obtain a refund of the portion of your 
published freight charges corresponding to the portion of the lost or 
destroyed shipment (including any charges for accessorial or terminal 
services) at the time you dispose of claims for loss, damage, or injury 
to articles in the shipment under part 370 of this chapter.

0
27. Amend Sec.  375.807 to revise paragraph (c)(1) to read as follows:


Sec.  375.807  What actions may I take to collect the charges upon my 
freight bill?

* * * * *
    (c) * * *
    (1) You must automatically extend the credit period to a total of 
30 calendar days for any shipper who has not paid your freight bill 
within the 7-day period. However, for charges for impracticable 
operations that are not collected at delivery, you may not extend the 
credit period beyond 30 days after you present your freight bill.
* * * * *

0
28. Revise Appendix A to part 375 to read as follows:

Appendix A to Part 375--Your Rights and Responsibilities When You Move

OMB No. 2126-0025

Furnished by Your Mover, as Required by Federal Law

    Authority: 49 U.S.C. 13301, 13704, 13707, and 14104; 49 CFR 
1.73.

What Is Included in This Pamphlet?

In this pamphlet, you will find a discussion of each of these 
topics:
Why Was I Given This Pamphlet?
What Are the Most Important Points I Should Remember From This 
Pamphlet?
What If I Have More Questions?

Subpart A--General Requirements

Who must follow the regulations?
What definitions are used in this Pamphlet?

Subpart B--Before Requesting Services From Any Mover

What is my mover's normal liability for loss or damage when my mover 
accepts goods from me?
What actions by me limit or reduce my mover's normal liability?
What are dangerous or hazardous materials that may limit or reduce 
my mover's normal liability?
May my mover have agents?
What items must be in my mover's advertisements?
How must my mover handle complaints and inquiries?
Do I have the right to inspect my mover's tariffs (schedules of 
charges) applicable to my move?
Must my mover have an arbitration program?
Must my mover inform me about my rights and responsibilities under 
Federal Law?
What other information must my mover provide to me?
How must my mover collect charges?
May my mover collect charges upon delivery?
May my mover extend credit to me?
May my mover accept charge or credit cards for my payments?

Subpart C--Service Options Provided

What service options may my mover provide?
If my mover sells liability insurance coverage, what must my mover 
do?

Subpart D--estimating charges

Must my mover estimate the transportation and accessorial charges 
for my move?
How must my mover estimate charges under the regulations?
What payment arrangements must my mover have in place to secure 
delivery of my household goods shipment?

Subpart E--Pickup of My Shipment of Household Goods

Must my mover write up an order for service?
Must my mover write up an inventory of the shipment?
Must my mover write up a bill of lading?
Should I reach an agreement with my mover about pickup and delivery 
times?
Must my mover determine the weight of my shipment?
How must my mover determine the weight of my shipment?
What must my mover do if I want to know the actual weight or charges 
for my shipment before delivery?

Subpart F--Transportation of My Shipment

Must my mover transport the shipment in a timely manner?
What must my mover do if it is able to deliver my shipment more than 
24 hours before I am able to accept delivery?
What must my mover do for me when I store household goods in 
transit?

Subpart G--Delivery of My Shipment

May my mover ask me to sign a delivery receipt releasing it from 
liability?
What is the maximum collect-on-delivery amount my mover may demand I 
pay at the time of delivery?
If my shipment is transported on more than one vehicle, what charges 
may my mover collect at delivery?
If my shipment is partially or totally lost or destroyed, what 
charges may my mover collect at delivery?
How must my mover calculate the charges applicable to the shipment 
as delivered?

Subpart H--Collection of Charges

Does this subpart apply to most shipments?
How must my mover present its freight or expense bill to me?

[[Page 36776]]

If I forced my mover to relinquish a collect-on-delivery shipment 
before the payment of ALL charges, how must my mover collect the 
balance?
What actions may my mover take to collect from me the charges in its 
freight bill?
Do I have a right to file a claim to recover money for property my 
mover lost or damaged?

Subpart I--Resolving Disputes With My Mover

What may I do to resolve disputes with my mover?

Why Was I Given This Pamphlet?

    The Federal Motor Carrier Safety Administration's (FMCSA) 
regulations protect consumers on interstate moves and define the 
rights and responsibilities of consumers and household goods 
carriers.
    The household goods carrier (mover) gave you this booklet to 
provide information about your rights and responsibilities as an 
individual shipper of household goods. Your primary responsibility 
is to select a reputable household goods carrier, ensure that you 
understand the terms and conditions of the contract, and understand 
and pursue the remedies that are available to you in case problems 
arise. You should talk to your mover if you have further questions. 
The mover will also furnish you with additional written information 
describing its procedure for handling your questions and complaints. 
The additional written information will include a telephone number 
you can call to obtain additional information about your move.

What Are the Most Important Points I Should Remember From This 
Pamphlet?

    1. Movers must give written estimates.
    2. Movers may give binding estimates.
    3. Non-binding estimates are not always accurate; actual charges 
may exceed the estimate.
    4. If your mover provides you (or someone representing you) with 
any partially complete document for your signature, you should 
verify the document is as complete as possible before signing it. 
Make sure the document contains all relevant shipping information, 
except the actual shipment weight and any other information 
necessary to determine the final charges for all services performed.
    5. You may request from your mover the availability of 
guaranteed pickup and delivery dates.
    6. Be sure you understand the mover's responsibility for loss or 
damage, and request an explanation of the difference between 
valuation and actual insurance.
    7. You have the right to be present each time your shipment is 
weighed.
    8. You may request a reweigh of your shipment.
    9. If you agree to move under a non-binding estimate, you should 
confirm with your mover--in writing--the method of payment at 
delivery as cash, certified check, cashier's check, money order, or 
credit card.
    10. Movers must offer a dispute settlement program as an 
alternative means of settling loss or damage claims. Ask your mover 
for details.
    11. You should ask the person you speak to whether he or she 
works for the actual mover or a household goods broker. A household 
goods broker must not represent itself as a mover. The broker is 
responsible only for arranging the transportation. It does not own 
the trucks used to transport the shipment and is required to find an 
authorized mover to provide the transportation. You should know that 
a household goods broker generally has no authority to provide you 
with an estimate for the move, unless the broker has a written 
agreement with the household goods carrier. If a household goods 
broker provides you with an estimate without a written agreement 
with the carrier, the estimate may not be binding and you may 
instead be required to pay the actual charges assessed by the mover. 
A household goods broker is not responsible for loss or damage.
    12. You may request complaint information about movers from the 
Federal Motor Carrier Safety Administration under the Freedom of 
Information Act. You may be assessed a fee to obtain this 
information. See 49 CFR part 7 for the schedule of fees.
    13. You should seek estimates from at least three different 
movers. You should not disclose any information to the different 
movers about their competitors, as it may affect the accuracy of 
their estimates.

What if I Have More Questions?

    If this pamphlet does not answer all of your questions about 
your move, do not hesitate to ask for additional information from 
your mover's representative who handled the arrangements for your 
move, the driver who transports your shipment, or the mover's main 
office.

Subpart A--General Requirements

    The primary responsibility for your protection lies with you in 
selecting a reputable household goods carrier, ensuring you 
understand the terms and conditions of your contract with your 
mover, and understanding and pursuing the remedies that are 
available to you in case problems arise.

Who Must Follow the Regulations?

    The regulations inform motor carriers engaged in the interstate 
transportation of household goods (household goods motor carriers or 
movers) what standards they must follow when offering services to 
you. You, an individual shipper, are not directly subject to the 
regulations. However, your mover may be required by the regulations 
to demand that you pay on time. The regulations apply only to a 
mover that both transports your household goods by motor vehicle in 
interstate commerce--that is, when you are moving from one State to 
another--and provides certain types of additional services. The 
regulations do not apply when your interstate move takes place 
within a single commercial zone. A commercial zone is roughly 
equivalent to the local metropolitan area of a city or town. For 
example, a move between Brooklyn, NY, and Hackensack, NJ, would be 
considered within the New York City commercial zone and would not be 
subject to these regulations. Commercial zones are defined in 49 CFR 
part 372.

What Definitions Are Used in This Pamphlet?

    Accessorial (Additional) Services--These are services such as 
packing, appliance servicing, unpacking, or piano stair carries that 
you request be performed (or that are necessary because of landlord 
requirements or other special circumstances). Charges for these 
services may be in addition to the line-haul charges.
    Advanced Charges--These are charges for services performed by 
someone other than the mover. A professional, craftsman, or other 
third party may perform these services at your request. The mover 
pays for these services and adds the charges to your bill of lading 
charges.
    Advertisement--This is any communication to the public in 
connection with an offer or sale of any interstate household goods 
transportation service. This will include written or electronic 
database listings of your mover's name, address, and telephone 
number in an online database. This excludes listings of your mover's 
name, address, and telephone number in a telephone directory or 
similar publication. However, Yellow Pages advertising is included 
within the definition.
    Agent--A local moving company authorized to act on behalf of a 
larger, national company.
    Appliance Service by Third Party--The preparation of major 
electrical appliances to make them safe for shipment. Charges for 
these services may be in addition to the line-haul charges.
    Bill of Lading--The receipt for your goods and the contract for 
their transportation.
    Carrier--The mover transporting your household goods.
    Collect on Delivery (COD)--This means payment is required at the 
time of delivery at the destination residence (or warehouse).
    Certified Scale--Any scale designed for weighing motor vehicles, 
including trailers or semi-trailers not attached to a tractor, and 
certified by an authorized scale inspection and licensing authority. 
A certified scale may also be a platform or warehouse type scale 
that is properly inspected and certified.
    Estimate, Binding--This is a written agreement made in advance 
with your mover. It guarantees the total cost of the move based upon 
the quantities and services shown on the estimate.
    Estimate, Non-Binding--This is what your mover believes the cost 
will be, based upon the estimated weight of the shipment and the 
accessorial services requested. A non-binding estimate is not 
binding on the mover. The final charges will be based upon the 
actual weight of your shipment, the services provided, and the 
tariff provisions in effect.
    Expedited Service--This is an agreement with the mover to 
perform transportation by a set date in exchange for charges based 
upon a higher minimum weight.
    Flight Charge--A charge for carrying items up or down flights of 
stairs. Charges for these services may be in addition to the line-
haul charges.

[[Page 36777]]

    Guaranteed Pickup and Delivery Service--An additional level of 
service featuring guaranteed dates of service. Your mover will 
provide reimbursement to you for delays. This premium service is 
often subject to minimum weight requirements.
    High-Value Article--These are items included in a shipment 
valued at more than $100 per pound ($220 per kilogram).
    Household Goods, as used in connection with transportation, 
means the personal effects or property used, or to be used, in a 
dwelling, when part of the equipment or supplies of the dwelling. 
Transportation of the household goods must be arranged and paid for 
by you or by another individual on your behalf. This may include 
items moving from a factory or store when you purchase them to use 
in your dwelling. You must request that these items be transported, 
and you (or another individual on your behalf) must pay the 
transportation charges to the mover.
    Household Goods Motor Carrier means a motor carrier that, in the 
ordinary course of its business of providing transportation of 
household goods, offers some or all of the following additional 
services: (1) Binding and non-binding estimates, (2) Inventory, (3) 
Protective packing and unpacking of individual items at personal 
residences, and (4) Loading and unloading at personal residences. 
The term does not include a motor carrier when the motor carrier 
provides transportation of household goods in containers or trailers 
that are entirely loaded and unloaded by an individual other than an 
employee or agent of the motor carrier.
    Individual Shipper--Any person who--
    1. Is the shipper, consignor, or consignee of a household goods 
shipment;
    2. Is identified as the shipper, consignor, or consignee on the 
face of the bill of lading;
    3. Owns the goods being transported; and
    4. Pays his or her own tariff transportation charges.
    Impracticable Operations generally refer to services required 
when operating conditions make it physically impossible for the 
motor carrier to perform pickup or delivery with its normally 
assigned road-haul equipment, so that the carrier must use smaller 
equipment and/or additional labor to complete pickup or delivery of 
the shipment. A mover may require payment of additional charges for 
impracticable operations even if you do not request these services. 
The specific services considered to be impracticable operations by 
your mover are defined in your mover's tariff.
    Inventory--The detailed descriptive list of your household goods 
showing the number and condition of each item.
    Line-Haul Charges--The charges for the vehicle transportation 
portion of your move. These charges, if separately stated, apply in 
addition to the accessorial service charges.
    Long Carry--A charge for carrying articles excessive distances 
between the mover's vehicle and your residence. Charges for these 
services may be in addition to the line-haul charges.
    May--An option. You or your mover may do something, but it is 
not a requirement.
    Mover--A household goods motor carrier and its household goods 
agents.
    Must--A legal obligation. You or your mover must do something.
    Order for Service--The document authorizing the mover to 
transport your household goods.
    Order (Bill of Lading) Number--The number used to identify and 
track your shipment.
    Peak Season Rates--Higher line-haul charges applicable during 
the summer months.
    Pickup and Delivery Charges--Separate transportation charges 
applicable to transporting your shipment between the storage-in-
transit warehouse and your residence.
    Reasonable Dispatch--The performance of transportation on the 
dates, or during the period of time, agreed upon by you and your 
mover and shown on the Order for Service/Bill of Lading. For 
example, if your mover deliberately withholds any shipment from 
delivery after you offer to pay the binding estimate or up to 110 
percent of a non-binding estimate, plus any charges for additional 
services you requested that were not included in the estimate and/or 
permissible charges for impracticable operations, your mover has not 
transported the goods with reasonable dispatch. The term 
''reasonable dispatch`` excludes transportation provided under your 
mover's tariff provisions requiring guaranteed service dates. Your 
mover will have the defense of force majeure, i.e., that the 
contract cannot be performed owing to causes that are outside the 
control of the parties and could not be avoided by exercise of due 
care.
    Should--A recommendation. We recommend you or your mover do 
something, but it is not a requirement.
    Shuttle Service--The use of a smaller vehicle to provide service 
to residences not accessible to the mover's normal line-haul 
vehicles.
    Storage-In-Transit (SIT)--The temporary warehouse storage of 
your shipment pending further transportation, with or without 
notification to you. If you (or someone representing you) cannot 
accept delivery on the agreed-upon date or within the agreed-upon 
time period (for example, because your home is not quite ready to 
occupy), your mover may place your shipment into SIT without 
notifying you. In those circumstances, you will be responsible for 
the added charges for SIT service, as well as the warehouse handling 
and final delivery charges. However, your mover also may place your 
shipment into SIT if your mover was able to make delivery before the 
agreed-upon date (or before the first day of the agreed-upon 
delivery period) but you did not concur with early delivery. In 
those circumstances, your mover must notify you immediately of the 
SIT, and your mover is fully responsible for redelivery charges, 
handling charges, and storage charges.
    Surface Transportation Board--An agency within the U.S. 
Department of Transportation that regulates household goods carrier 
tariffs, among other responsibilities. The Surface Transportation 
Board's address is 395 E Street, SW., Washington, DC 20423-0001. 
Tele. 202-245-0245.
    Tariff--An issuance (in whole or in part) containing rates, 
rules, regulations, classifications, or other provisions. The 
Surface Transportation Board requires that a tariff contain three 
specific items. First, an accurate description of the services the 
mover offers to the public. Second, the specific applicable rates 
(or the basis for calculating the specific applicable rates) and 
service terms for services offered to the public. Third, the mover's 
tariff must be arranged in a way that allows you to determine the 
exact rate(s) and service terms applicable to your shipment.
    Valuation--The degree of worth of the shipment. The valuation 
charge compensates the mover for assuming a greater degree of 
liability than is provided for in its base transportation charges.
    Warehouse Handling--A charge may be applicable each time SIT 
service is provided. Charges for these services may be in addition 
to the line-haul charges. This charge compensates the mover for the 
physical placement and removal of items within the warehouse.
    We, Us, and Our--The Federal Motor Carrier Safety Administration 
(FMCSA).
    You and Your--You are an individual shipper of household goods. 
You are a consignor or consignee of a household goods shipment and 
your mover identifies you as such in the bill of lading contract. 
You own the goods being transported and pay the transportation 
charges to the mover.
    Where may other terms used in this pamphlet be defined? You may 
find other terms used in this pamphlet defined in 49 U.S.C. 13102. 
The statute controls the definitions in this pamphlet. If terms are 
used in this pamphlet and the terms are defined neither here nor in 
49 U.S.C. 13102, the terms will have the ordinary practical meaning 
of such terms.

Subpart B--Before Requesting Services From Any Mover

What Is My Mover's Normal Liability for Loss or Damage When My Mover 
Accepts Goods From Me?

    In general, your mover is legally liable for loss or damage that 
occurs during performance of any transportation of household goods 
and of all related services identified on your mover's lawful bill 
of lading.
    Your mover is liable for loss of, or damage to, any household 
goods to the extent provided in the current Surface Transportation 
Board's Released Rates Order. You may obtain a copy of the current 
Released Rates Order by contacting the Surface Transportation Board 
at the address provided under the definition of the Surface 
Transportation Board. The rate may be increased annually by your 
mover based on the U.S. Department of Commerce's Cost of Living 
Adjustment. Your mover may have additional liability if your mover 
sells liability insurance to you.
    All moving companies are required to assume liability for the 
value of the goods transported. However, there are different levels 
of liability, and you should be aware of the amount of protection 
provided and the charges for each option.

[[Page 36778]]

    Basically, most movers offer two different levels of liability 
under the terms of their tariffs and the Surface Transportation 
Board's Released Rates Orders. These orders govern the moving 
industry. The levels of liability are as follows:
    (1) FULL VALUE PROTECTION (FVP). This is the most comprehensive 
option available for the protection of your goods. Unless you waive 
full-value protection in writing and agree to Release Value 
Protection as described below, your shipment will be transported 
under your mover's full (replacement) value level of liability. If 
any article is lost, destroyed, or damaged while in your mover's 
custody, your mover will, at its option, either: repair the article 
to the extent necessary to restore it to the same condition as when 
it was received by your mover, or pay you for the cost of such 
repairs; replace the article with an article of like kind; or pay 
you for the cost of a replacement article at the current market 
replacement value, regardless of the age of the lost or damaged 
article. Your mover will charge you for this level of protection, or 
you may select the Alternative Level of Liability described below.
    The cost for FVP is based on the value that you place on your 
shipment. For example, the valuation charge for a shipment valued at 
$25,000 would be about $250.00. However, the exact cost for full-
value protection may vary by mover and may be further subject to 
various deductible levels of liability that could reduce your cost. 
Ask your mover for the details and cost of its specific plan.
    Under the FVP level of liability, movers are permitted to limit 
their liability for loss of, or damage to, articles of extraordinary 
value, unless you specifically list on the shipping documents such 
articles for which you want liability coverage. An article of 
extraordinary value is any item whose value exceeds $100 per pound 
(for example, jewelry, silverware, china, furs, antiques, oriental 
rugs and computer software). Ask your mover for a complete 
explanation of this limitation before your move. It is your 
responsibility to study this provision carefully and to make the 
necessary declaration.
    (2) RELEASED VALUE of 60 Cents Per Pound Per Article. This is 
the most economical protection option available; however, this no-
cost option provides only minimal protection. Under this option, the 
mover assumes liability for no more than 60 cents per pound per 
article. Loss or damage claims are settled based on the weight of 
the article multiplied by 60 cents per pound. For example, if a 10-
pound stereo component valued at $1,000 were lost or destroyed, the 
mover would be liable for no more than $6.00 (10 pounds x 60 cents 
per pound). Obviously, you should think carefully before agreeing to 
such an arrangement. There is no extra charge for this minimal 
protection, but you must sign a specific statement on the bill of 
lading agreeing to it. If you do not select this Alternative Level 
of Liability, your shipment will be transported at the Full 
(Replacement) Value level of liability and you will be assessed the 
applicable valuation charge.
    These two levels of liability are not insurance agreements 
governed by State insurance laws but instead are contractual tariff 
levels of liability authorized under Released Rates Orders of the 
Surface Transportation Board of the U.S. Department of 
Transportation.
    In addition to these options, some movers may also offer to 
sell, or procure for you, separate liability insurance from a third-
party insurance company when you release your shipment for 
transportation at the minimum released value (60 cents per pound 
[$1.32 per kilogram] per article). This is not valuation coverage 
governed by Federal law but optional insurance regulated under State 
law. If you purchase this separate coverage and your mover is 
responsible for loss or damage, the mover is liable only for an 
amount not exceeding 60 cents per pound ($1.32 per kilogram) per 
article, and the balance of the loss is recoverable from the 
insurance company up to the amount of insurance purchased. The 
mover's representative can advise you of the availability of such 
liability insurance, and the cost.
    If you purchase liability insurance from or through your mover, 
the mover is required to issue a policy or other written record of 
the purchase and to provide you with a copy of the policy or other 
document at the time of purchase. If the mover fails to comply with 
this requirement, the mover becomes fully liable for any claim for 
loss or damage attributed to its negligence.

What Actions by Me Limit or Reduce My Mover's Normal Liability?

    Your actions may limit or reduce your mover's normal liability 
under the following three circumstances:
    (1) You include perishable, dangerous, or hazardous materials in 
your household goods without your mover's knowledge.
    (2) You choose the alternative level of liability (60 cents per 
pound per article) but ship household goods valued at more than 60 
cents per pound ($1.32 per kilogram) per article.
    (3) You fail to notify your mover in writing of articles valued 
at more than $100 per pound ($220 per kilogram). (If you do notify 
your mover, you will be entitled to full recovery up to the declared 
value of the article or articles, not to exceed the declared value 
of the entire shipment.)

What Are Dangerous or Hazardous Materials That May Limit or Reduce My 
Mover's Normal Liability?

    Federal law forbids you to ship hazardous materials in your 
household goods boxes or luggage without informing your mover. A 
violation can result in 5 years' imprisonment and penalties of 
$250,000 or more (49 U.S.C. 5124). You could also lose or damage 
your household goods by fire, explosion, or contamination.
    If you offer hazardous materials to your mover, you are 
considered a hazardous materials shipper and must comply with the 
hazardous materials requirements in 49 CFR parts 171, 172, and 173, 
including but not limited to package labeling and marking, shipping 
papers, and emergency response information. Your mover must comply 
with 49 CFR parts 171, 172, 173, and 177 as a hazardous materials 
carrier.
    Hazardous materials include explosives, compressed gases, 
flammable liquids and solids, oxidizers, poisons, corrosives, and 
radioactive materials. Examples: Nail polish remover, paints, paint 
thinners, lighter fluid, gasoline, fireworks, oxygen bottles, 
propane cylinders, automotive repair and maintenance chemicals, and 
radio-pharmaceuticals.
    There are special exceptions for small quantities (up to 70 
ounces total) of medicinal and toilet articles carried in your 
household goods and certain smoking materials carried on your 
person. For further information, contact your mover.

May My Mover Have Agents?

    Yes, your mover may have agents. If your mover has agents, your 
mover must have written agreements with its prime agents. Your mover 
and its retained prime agent must sign their agreements. Copies of 
your mover's prime agent agreements must be in your mover's files 
for a period of at least 24 months following the date of termination 
of each agreement.

What Items Must Be in My Mover's Advertisements?

    Your mover must publish and use only truthful, straightforward, 
and honest advertisements. Your mover must include certain 
information in all advertisements for all services (including any 
accessorial services incidental to or part of interstate 
transportation). Your mover must require each of its agents to 
include the same information in its advertisements. The information 
must include the following two pieces of information about your 
mover:
    (1) Name or trade name of the mover under whose U.S. DOT number 
the advertised service will originate.
    (2) U.S. DOT number assigned by FMCSA authorizing your mover to 
operate. Your mover must display the information as: U.S. DOT No. 
(assigned number).
    You should compare the name or trade name of the mover and its 
U.S. DOT number to the name and U.S. DOT number on the sides of the 
truck(s) that arrive at your residence. The names and numbers should 
be identical. If the names and numbers are not identical, you should 
ask your mover immediately why they are not. You should not allow 
the mover to load your household goods on its truck(s) until you 
obtain a satisfactory response from the mover's local agent. The 
discrepancies may warn of problems you will have later in your 
business dealings with this mover.

How Must My Mover Handle Complaints and Inquiries?

    All movers are expected to respond promptly to complaints or 
inquiries from you, the customer. Should you have a complaint or 
question about your move, you should first attempt to obtain a 
satisfactory response from the mover's local agent, the sales 
representative who handled the arrangements for your move, or the 
driver assigned to your shipment.
    If for any reason you are unable to obtain a satisfactory 
response from one of these persons, you should then contact the 
mover's principal office. When you make such a call, be sure to have 
available your copies of all documents relating to your move.

[[Page 36779]]

Particularly important is the number assigned to your shipment by 
your mover.
    Interstate movers are also required to offer neutral arbitration 
as a means of resolving consumer disputes involving loss of or 
damage to your household goods shipment and disputes regarding 
charges that your mover billed in addition to those collected at 
delivery. Your mover is required to provide you with information 
regarding its arbitration program. You have the right to pursue 
court action under 49 U.S.C. 14706 to seek judicial redress directly 
rather than participate in your mover's arbitration program.
    All interstate moving companies are required to maintain a 
complaint and inquiry procedure to assist their customers. At the 
time you make the arrangements for your move, you should ask the 
mover's representative for a description of the mover's procedure, 
the telephone number to be used to contact the mover, and whether 
the mover will pay for such telephone calls. Your mover's procedure 
must include the following four things:
    (1) A communications system allowing you to communicate with 
your mover's principal place of business by telephone.
    (2) A telephone number.
    (3) A clear and concise statement about who must pay for 
complaint and inquiry telephone calls.
    (4) A written or electronic record system for recording all 
inquiries and complaints received from you by any means of 
communication.
    Your mover must give you a clear and concise written description 
of its procedure. You may want to be certain that the system is in 
place.

Do I Have the Right to Inspect My Mover's Tariffs (Schedules of 
Charges) Applicable to My Move?

    Federal law requires your mover to advise you of your right to 
inspect your mover's tariffs (its schedules of rates or charges) 
governing your shipment. Movers' tariffs are made a part of the 
contract of carriage (bill of lading) between you and the mover. You 
may inspect the tariff at the mover's facility, or, upon request, 
the mover will furnish you a free copy of any tariff provision 
containing the mover's rates, rules, or charges governing your 
shipment.
    Tariffs may include provisions limiting the mover's liability. 
This is generally described in a section on declaring value on the 
bill of lading. A second tariff provision may set the periods for 
filing claims. This is generally described in Section 6 on the 
reverse side of a bill of lading. A third tariff provision may 
reserve your mover's right to assess additional charges for 
additional services performed. For non-binding estimates, another 
tariff provision may base charges upon the exact weight of the goods 
transported. Your mover's tariff may contain other provisions that 
apply to your move. Ask your mover what they might be, and request a 
copy.

Must My Mover Have an Arbitration Program?

    Your mover must have an arbitration program for your use in 
resolving disputes concerning loss of or damage to your household 
goods and disputes regarding charges that were billed to you in 
addition to those collected at delivery of your shipment. You have 
the right not to participate in the arbitration program. You may 
pursue court action under 49 U.S.C. 14706 to seek judicial remedies 
directly. Your mover must establish and maintain an arbitration 
program with the following 11 minimum elements:
    (1) The arbitration program offered to you must prevent your 
mover from having any special advantage because you live or work in 
a place distant from the mover's principal or other place of 
business.
    (2) Before your household goods are tendered for transport, your 
mover must provide notice to you of the availability of neutral 
arbitration, including the following three things:
    (a) A summary of the arbitration procedure.
    (b) Any applicable costs.
    (c) A disclosure of the legal effects of electing to use 
arbitration.
    (3) Upon your request, your mover must provide information and 
forms it considers necessary for initiating an action to resolve a 
dispute under arbitration.
    (4) Each person authorized to arbitrate must be independent of 
the parties to the dispute and capable of resolving such disputes 
fairly and expeditiously. Your mover must ensure the arbitrator is 
authorized and able to obtain from you or your mover any material or 
relevant information to carry out a fair and expeditious decision-
making process.
    (5) You must not be required to pay more than one-half of the 
arbitration's cost. The arbitrator may determine the percentage of 
payment of the costs for each party in the arbitration decision, but 
must not make you pay more than half.
    (6) Your mover must not require you to agree to use arbitration 
before a dispute arises.
    (7) You and your mover will be bound by arbitration for claims 
of $10,000 or less if you request arbitration.
    (8) You and your mover will be bound by arbitration for claims 
of more than $10,000 only if you request arbitration and your mover 
agrees to it.
    (9) If you and your mover both agree, the arbitrator may provide 
for an oral presentation of a dispute by a party or representative 
of a party.
    (10) The arbitrator must render a decision within 60 days of 
receipt of written notification of the dispute, and a decision by an 
arbitrator may include any remedies appropriate under the 
circumstances.
    (11) The 60-day period may be extended for a reasonable period 
if either you or your mover fails to provide information in a timely 
manner. Your mover must produce and distribute a concise, easy-to-
read, accurate summary of its arbitration program.

Must My Mover Inform Me About My Rights and Responsibilities Under 
Federal Law?

    Yes, your mover must inform you about your rights and 
responsibilities under Federal law. Your mover must produce and 
distribute this document. It should follow the general order and 
contain the text of appendix A to 49 CFR part 375.

What Other Information Must My Mover Provide Me?

    At the time your mover provides a written estimate, it must 
provide you with a copy of the U.S. Department of Transportation 
publication FMCSA-ESA-03-005 entitled ``Ready to Move?'' (or its 
successor publication). Before your mover executes an order for 
service for a shipment of household goods, your mover must furnish 
you with the following four documents:
    1. The contents of Appendix A, ''Your Rights and 
Responsibilities When You Move''--this booklet.
    2. A concise, easy-to-read, and accurate summary of your mover's 
arbitration program.
    3. A notice of availability of the applicable sections of your 
mover's tariff for the estimate of charges, including an explanation 
that you may examine the tariff sections or have copies sent to you 
upon request.
    4. A concise, easy-to-read, accurate summary of your mover's 
customer complaint and inquiry handling procedures. Included in this 
summary must be the following two items:
    (a) The main telephone number you may use to communicate with 
your mover.
    (b) A clear and concise statement concerning who must pay for 
telephone calls.
    Your mover may, at its discretion, provide additional 
information to you.

How Must My Mover Collect Charges?

    Your mover must issue you an honest, truthful freight or expense 
bill for each shipment transported. Your mover's freight or expense 
bill must contain the following 17 items:
    (1) Name of the consignor.
    (2) Name of the consignees.
    (3) Date of the shipment.
    (4) Origin point.
    (5) Destination points.
    (6) Number of packages.
    (7) Description of the freight.
    (8) Weight of the freight (if your shipment is moved under a 
non-binding estimate).
    (9) Exact rate(s) assessed.
    (10) Disclosure of the actual rates, charges, and allowances for 
the transportation service, when your mover electronically presents 
or transmits freight or expense bills to you. These rates must be in 
accordance with the mover's applicable tariff.
    (11) An indication of whether adjustments may apply to the bill.
    (12) Total charges due and acceptable methods of payment.
    (13) The nature and amount of any special service charges.
    (14) The points where special services were rendered.
    (15) Route of movement and name of each mover participating in 
the transportation.
    (16) Transfer points where shipments moved.
    (17) Address where you must pay or address of bill issuer's 
principal place of business.
    Your mover must present its freight or expense bill to you 
within 15 days of the date

[[Page 36780]]

of delivery of a shipment at its destination. The computation of 
time excludes Saturdays, Sundays, and Federal holidays. If your 
mover lacks sufficient information to compute its charges, your 
mover must present its freight bill for payment within 15 days of 
the date when sufficient information does become available.

May My Mover Collect Charges Upon Delivery?

    Yes. Your mover must specify the form of payment acceptable at 
delivery when the mover prepares an estimate and order for service. 
The mover and its agents must honor the form of payment at delivery, 
except when you mutually agree to a change in writing. The mover 
must also specify the same form of payment when it prepares your 
bill of lading, unless you agree to a change. See also ``May my 
mover accept charge or credit cards for my payments?''
    You must be prepared to pay 10 percent more than the estimated 
amount, if your goods are moving under a non-binding estimate. Every 
collect-on-delivery shipper must have available 110 percent of the 
estimate at the time of delivery. In addition, your mover may also 
collect at the time of delivery the charges for any additional 
services you requested after the contract with your mover was 
executed (charges therefore not included in the estimate) and any 
charges for impracticable operations needed to accomplish delivery, 
as defined by the carrier's tariff. Charges collected at the time of 
delivery for impracticable operations must not exceed 15 percent of 
all other charges due at the time of delivery. You must pay all 
remaining charges for impracticable operations within 30 days after 
you receive the mover's freight bill.

May My Mover Extend Credit to Me?

    Extending credit to you is not the same as accepting your charge 
or credit card(s) as payment. Your mover may extend credit to you in 
the amount of the tariff charges. If your mover extends credit to 
you, your mover becomes like a bank offering you a line of credit, 
whose size and interest rate are determined by your ability to pay 
its tariff charges within the credit period. Your mover must ensure 
you will pay its tariff charges within the credit period. Your mover 
may relinquish possession of freight before you pay its tariff 
charges, at its discretion.
    The credit period must begin on the day following presentation 
of your mover's freight bill to you. Under Federal regulation, the 
standard credit period is 7 days, excluding Saturdays, Sundays, and 
Federal holidays. Your mover must also extend the credit period to a 
total of 30 calendar days if the freight bill is not paid within the 
7-day period. A service charge equal to one percent of the amount of 
the freight bill, subject to a $20 minimum, will be assessed for 
this extension and for each additional 30-day period the charges go 
unpaid.
    Your failure to pay within the credit period will require your 
mover to determine whether you will comply with the Federal 
household goods transportation credit regulations in good faith in 
the future before extending credit again.

May My Mover Accept Charge or Credit Cards for My Payments?

    Your mover may allow you to use a charge or credit card for 
payment of the freight charges. Your mover may accept charge or 
credit cards whenever you ship with it under an agreement and tariff 
requiring payment by cash or cash equivalents. Cash equivalents are 
a certified check, money order, or cashier's check (a check that a 
financial institution--bank, credit union, savings and loan--draws 
upon itself and that is signed by an officer of the financial 
institution).
    If your mover allows you to pay for a freight or expense bill by 
charge or credit card, your mover deems such a payment to be 
equivalent to payment by cash, certified check, or cashier's check. 
It must note in writing on the order for service and the bill of 
lading whether you may pay for the transportation and related 
services using a charge or credit card. You should ask your mover at 
the time the estimate is written whether it will accept charge or 
credit cards at delivery.
    The mover must specify what charge or credit cards it will 
accept, such as American ExpressTM, 
DiscoverTM, MasterCard TM, or 
VisaTM. If your mover agrees to accept payment by charge 
or credit card, you must arrange with your mover for the delivery 
only at a time when your mover can obtain authorization for your 
credit card transaction. If you cause a charge or credit card issuer 
to reverse a transaction, your mover may consider your action 
tantamount to forcing your mover to provide an involuntary extension 
of its credit.

Subpart C--Service Options Provided

What Service Options May My Mover Provide?

    Your mover may provide any service options it chooses. It is 
customary for movers to offer several price and service options.
    The total cost of your move may increase if you want additional 
or special services. Before you agree to have your shipment moved 
under a bill of lading providing special service, you should have a 
clear understanding with your mover of what the additional cost will 
be. You should always consider whether other movers might provide 
the services you need without requiring you to pay the additional 
charges.
    One service option is a space reservation. If you agree to have 
your shipment transported under a space reservation agreement, you 
will pay for a minimum number of cubic feet of space in the moving 
van regardless of how much space in the van your shipment actually 
occupies.
    A second option is expedited service. This aids you if you must 
have your shipments transported on or between specific dates when 
the mover could not ordinarily agree to do so in its normal 
operations.
    A third customary service option is exclusive use of a vehicle. 
If for any reason you desire or require that your shipment be moved 
by itself on the mover's truck or trailer, most movers will provide 
such service.
    Another service option is guaranteed service on or between 
agreed dates. You enter into an agreement with the mover where the 
mover provides for your shipment to be picked up, transported to 
destination, and delivered on specific guaranteed dates. If the 
mover fails to provide the service as agreed, you are entitled to be 
compensated at a predetermined amount or a daily rate (per diem) 
regardless of the expense you might actually have incurred as a 
result of the mover's failure to perform.
    Before requesting or agreeing to any of these price and service 
options, be sure to ask the mover's representatives about the final 
costs you will pay.

Transport of Shipments on Two or More Vehicles

    Although all movers try to move each shipment on one truck, it 
becomes necessary, at times, to divide a shipment among two or more 
trucks. This may occur if your mover has underestimated the cubic 
feet (meters) of space required for your shipment and it will not 
all fit on the first truck. Your mover will pick up the remainder, 
or ``leave behind,'' on a second truck at a later time, and this 
part of your shipment may arrive at the destination later than the 
first truck. When this occurs, your transportation charges will be 
determined as if the entire shipment had moved on one truck.
    If it is important for you to avoid this inconvenience of a 
``leave behind,'' be sure your estimate includes an accurate 
calculation of the cubic feet (meters) required for your shipment. 
Ask your estimator to use a ``Table of Measurements'' form in making 
this calculation. Consider asking for a binding estimate. A binding 
estimate is more likely to be conservative with regard to cubic feet 
(meters) than a non-binding estimate. If the mover offers space 
reservation service, consider purchasing this service for the 
necessary amount of space plus some margin for error. In any case, 
you would be prudent to ``prioritize'' your goods in advance of the 
move so the driver will load the more essential items on the first 
truck if some are left behind.

If My Mover Sells Liability Insurance Coverage, What Must My Mover Do?

    If your mover provides the service of selling additional 
liability insurance, your mover must follow certain regulations.
    Your mover, its employees, or its agents may sell, offer to 
sell, or procure additional liability insurance coverage for you for 
loss of or damage to your shipment if you release the shipment for 
transportation at a value not exceeding 60 cents per pound ($1.32 
per kilogram) per article.
    Your mover may offer, sell, or procure any type of insurance 
policy covering loss or damage in excess of its specified liability.
    Your mover must issue you a policy or other appropriate evidence 
of the insurance you purchased. Your mover must provide a copy of 
the policy or other appropriate evidence to you at the time your 
mover sells or procures the insurance. Your mover must issue 
policies written in plain English.
    Your mover must clearly specify the nature and extent of 
coverage under the policy. Your mover's failure to issue you a 
policy, or other appropriate evidence of insurance you

[[Page 36781]]

purchased, will subject your mover to full liability for any claims 
to recover loss or damage attributed to it.
    Your mover's tariff must provide for liability insurance 
coverage. The tariff must also provide for the base transportation 
charge, including its assumption of full liability for the value of 
the shipment. This would offer you a degree of protection in the 
event your mover fails to issue you a policy or other appropriate 
evidence of insurance at the time of purchase.

Subpart D--Estimating Charges

Must My Mover Estimate the Transportation and Accessorial Charges for 
My Move?

    We require your mover to prepare a written estimate on every 
shipment transported for you. You are entitled to a copy of the 
written estimate when your mover prepares it. Your mover must 
provide you a written estimate of all charges, including 
transportation, accessorial, and advance charges. Your mover's 
``rate quote'' is not an estimate. You and your mover must sign the 
estimate of charges. Your mover must provide you with a dated copy 
of the estimate of charges at the time you sign the estimate.
    If the location you are moving from is within a 50-mile radius 
of your mover's (or its agent's) place of business, the estimate 
that your mover provides you must be based on a physical survey of 
your goods. You have the right to waive the requirement for a 
physical survey if you choose, but your waiver must be in the form 
of a written agreement signed by you before your shipment is loaded.
    You should be aware that if you receive an estimate from a 
household goods broker, the mover may not be required to accept the 
estimate. Be sure to obtain a written estimate from a mover who 
tells you orally that it will accept the broker's estimate.
    Your mover must specify the form of payment the mover and its 
delivering agent will honor at delivery. Payment forms may include 
but are not limited to cash, certified check, money order, cashier's 
check, a specific charge card such as American ExpressTM, 
a specific credit card such as VisaTM, and your mover's 
own credit.
    Before loading your household goods, and upon mutual agreement 
between you and your mover, your mover may amend an estimate of 
charges. Your mover may not amend the estimate after loading the 
shipment.
    A binding estimate is a written agreement made in advance with 
your mover, indicating you and the mover are bound by the charges. 
It guarantees the total cost of the move based upon the quantities 
and services shown on your mover's estimate.
    A non-binding estimate is what your mover believes the total 
cost will be for the move, based upon the estimated weight of the 
shipment and the accessorial services requested. A non-binding 
estimate is not binding on your mover. Your mover will base the 
final charges upon the actual weight of your shipment, the services 
provided, and its tariff provisions in effect. You must be prepared 
to pay 10 percent more than the estimated amount at delivery.
    You must also be prepared to pay at delivery the charges for any 
additional services you requested after the contract was executed 
(charges therefore not included in the estimate) and any charges for 
impracticable operations. Impracticable operations are defined in 
your mover's tariff. You should ask to see the mover's tariff to 
determine what services constitute impracticable operations. Charges 
for impracticable operations due at delivery must not exceed 15 
percent of all other charges due at delivery.

How Must My Mover Estimate Charges Under the Regulations?

Binding Estimates

    Your mover may charge you for providing a binding estimate. The 
binding estimate must clearly describe the shipment and all services 
provided.
    When you receive a binding estimate, you cannot be required to 
pay any more than the estimated amount at delivery. If you have 
requested the mover provide more services than those included in the 
estimate, your mover will collect the charges for those services 
when your shipment is delivered. However, charges for impracticable 
operations due at delivery must not exceed 15 percent of all other 
charges due at delivery.
    A binding estimate must be in writing, and a copy must be made 
available to you before you move.
    If you agree to a binding estimate, you are responsible for 
paying the charges due by cash, certified check, money order, or 
cashier's check. The charges are due your mover at the time of 
delivery unless your mover agrees, before you move, to extend credit 
or to accept payment by a specific charge card such as American 
ExpressTM or a specific credit card such as 
VisaTM. If you are unable to pay at the time the shipment 
is delivered, the mover may place your shipment in storage at your 
expense until you pay the charges.
    Other requirements of binding estimates include the following 
eight elements:
    (1) Your mover must retain a copy of each binding estimate as an 
attachment to the bill of lading.
    (2) Your mover must clearly indicate upon each binding 
estimate's face that the estimate is binding upon you and your 
mover. Each binding estimate must also clearly indicate on its face 
that the charges shown are the charges to be assessed for only those 
services specifically identified in the estimate.
    (3) Your mover must clearly describe binding estimate shipments 
and all services to be provided.
    (4) If, before loading your shipment, your mover believes you 
are tendering additional household goods or are requiring additional 
services not identified in the binding estimate, and you and your 
mover cannot reach an agreement, your mover may refuse to service 
the shipment. If your mover agrees to service the shipment, your 
mover must do one of the following three things:
    (a) Reaffirm the binding estimate.
    (b) Negotiate a revised written binding estimate listing the 
additional household goods or services.
    (c) Add an attachment to the contract, in writing, stating you 
both will consider the original binding estimate as a non-binding 
estimate. Before you agree to this option, read the information 
about non-binding estimates in the next section of this pamphlet. 
Accepting a non-binding estimate may seriously affect how much you 
may pay for the entire move.
    (5) Once your mover loads your shipment, your mover's failure to 
execute a new binding estimate or to agree with you to treat the 
original estimate as a non-binding estimate signifies it has 
reaffirmed the original binding estimate. Your mover may not collect 
more than the amount of the original binding estimate, except as 
provided in the next two paragraphs.
    (6) If you request additional services after the bill of lading 
is executed, your mover will collect the charges for these 
additional services when your shipment is delivered.
    (7) If your mover must perform impracticable operations, as 
defined in its tariff, to accomplish the delivery of your shipment, 
your mover will collect the charges for these services when your 
shipment is delivered. However, charges for impracticable operations 
collected at delivery must not exceed 15 percent of all other 
charges due at delivery. Any remaining impracticable operations 
charges must be paid within 30 days after you receive the mover's 
freight bill.
    (8) Failure of your mover to relinquish possession of a shipment 
upon your offer to pay the binding estimate amount plus the cost of 
any additional services you requested after the bill of lading was 
executed and any charges for impracticable operations (not to exceed 
15 percent of all other charges due at delivery) constitutes your 
mover's failure to transport a shipment with ``reasonable dispatch'' 
and subjects your mover to cargo delay claims pursuant to 49 CFR 
part 370.

Non-Binding Estimates

    Your mover is not permitted to charge you for giving a non-
binding estimate.
    A non-binding estimate is not a bid or contract. Your mover 
provides it to you to give you a general idea of the cost of the 
move, but it does not bind your mover to the estimated cost. You 
should expect the final cost to be more than the estimate. The 
actual cost will be in accordance with your mover's tariffs. Federal 
law requires your mover to collect the charges shown in its tariffs, 
regardless of what your mover writes in its non-binding estimates. 
That is why it is important to ask for copies of the applicable 
portions of the mover's tariffs before deciding on a mover. The 
charges contained in movers' tariffs are essentially the same for 
shipments of equal weight moving equal distances. Even if you obtain 
different non-binding estimates from different movers, you must pay 
only the amount specified in your mover's tariff. Therefore, a non-
binding estimate may differ substantially from the amount that you 
ultimately will pay.
    You must be prepared to pay 10 percent more than the estimated 
amount at the time

[[Page 36782]]

of delivery. Every collect-on-delivery shipper must have available 
110 percent of the estimate at the time of delivery. If you order 
additional services from your mover after the mover issues the bill 
of lading, the mover will collect the charges for those additional 
services when your shipment is delivered.
    Non-binding estimates must be in writing and clearly describe 
the shipment and all services provided. Any time a mover provides 
such an estimate, the amount of the charges estimated must be on the 
order for service and bill of lading related to your shipment. When 
you are given a non-binding estimate, do not sign or accept the 
order for service or bill of lading unless the mover enters the 
amount estimated on each form it prepares.
    Other requirements of non-binding estimates include the 
following 10 elements:
    (1) Your mover must provide reasonably accurate non-binding 
estimates based upon the estimated weight of the shipment and 
services required.
    (2) Your mover must explain to you that all charges on shipments 
moved under non-binding estimates will be those appearing in your 
mover's tariffs applicable to the transportation. If your mover 
provides a non-binding estimate of approximate costs, your mover is 
not bound by such an estimate.
    (3) Your mover must furnish non-binding estimates without charge 
and in writing to you.
    (4) Your mover must retain a copy of each non-binding estimate 
as an attachment to the bill of lading.
    (5) Your mover must clearly indicate on the face of a non-
binding estimate that the estimate is not binding upon your mover 
and the charges shown are the approximate charges to be assessed for 
the services identified in the estimate.
    (6) Your mover must clearly describe on the face of a non-
binding estimate the entire shipment and all services to be 
provided.
    (7) If, before loading your shipment, your mover believes you 
are tendering additional household goods or requiring additional 
services not identified in the non-binding estimate, and you and 
your mover cannot reach an agreement, your mover may refuse to 
service the shipment. If your mover agrees to service the shipment, 
your mover must do one of the following two things:
    (a) Reaffirm the non-binding estimate.
    (b) Negotiate a revised written non-binding estimate listing the 
additional household goods or services.
    (8) Once your mover loads your shipment, your mover's failure to 
execute a new estimate signifies it has reaffirmed the original non-
binding estimate. Your mover may not collect more than 110 percent 
of the amount of this estimate at destination for the services and 
quantities shown on the estimate.
    (9) If you request additional services after the bill of lading 
is executed, your mover will collect the charges for these 
additional services when your shipment is delivered.
    (10) If your mover must perform impracticable operations, as 
defined in its tariff, to accomplish the delivery of your shipment, 
your mover will collect the charges for these services when your 
shipment is delivered. However, charges for impracticable operations 
collected at delivery must not exceed 15 percent of all other 
charges due at delivery. Any remaining impracticable operations 
charges must be paid within 30 days after you receive the mover's 
freight bill.
    If your mover furnishes a non-binding estimate, your mover must 
enter the estimated charges upon the order for service and the bill 
of lading. Your mover must retain a record of all estimates of 
charges for each move performed for at least one year from the date 
your mover made the estimate.

What Payment Arrangements Must My Mover Have in Place To Secure 
Delivery of My Household Goods Shipment?

    If your total bill is 110 percent or less of the non-binding 
estimate, the mover can require payment in full upon delivery. If 
the bill exceeds 110 percent of the non-binding estimate, your mover 
must relinquish possession of the shipment at the time of delivery 
upon payment of 110 percent of the estimated amount, and defer 
billing for the remaining charges for at least 30 days.
    There are two exceptions to this requirement. Your mover may 
demand at the time of delivery payment of the charges for any 
additional services you requested after the bill of lading was 
executed (charges therefore not included in the estimate). Your 
mover may also require you to pay charges for impracticable 
operations at the time of delivery, provided these do not exceed 15 
percent of all other charges due at delivery. Impracticable 
operations charges that exceed 15 percent of all other charges due 
at delivery are due within 30 days after you receive the mover's 
freight bill. Your mover should have specified its acceptable form 
of payment on the estimate, order for service, and bill of lading.
    Your mover's failure to relinquish possession of a shipment 
after you offer to pay 110 percent of the estimated charges, plus 
the charges for any additional services you requested after the bill 
of lading was executed (charges therefore not included in the 
estimate) and any charges for impracticable operations (not to 
exceed 15 percent of all other charges due at delivery), constitutes 
its failure to transport the shipment with ``reasonable dispatch'' 
and subjects your mover to your cargo delay claims under 49 CFR part 
370.

Subpart E--Pickup of My Shipment of Household Goods

Must My Mover Write Up an Order for Service?

    We require your mover to prepare an order for service on every 
shipment transported for you. You are entitled to a copy of the 
order for service when your mover prepares it.
    The order for service is not a contract. Should you cancel or 
delay your move or decide not to use the mover, you should promptly 
cancel the order.
    If you or your mover change any agreed-upon dates for pickup or 
delivery of your shipment, or agree to any change in the non-binding 
estimate, your mover may prepare a written change to the order for 
service. The written change must be attached to the order for 
service.
    The order for service must contain the following 15 elements:
    (1) Your mover's name and address and the U.S. DOT number 
assigned to your mover.
    (2) Your name, address and, if available, telephone number(s).
    (3) The name, address, and telephone number of the delivering 
mover's office or agent at or nearest to the destination of your 
shipment.
    (4) A telephone number where you may contact your mover or its 
designated agent.
    (5) One of the following three dates and times:
    (i) The agreed-upon pickup date and agreed delivery date of your 
move.
    (ii) The agreed-upon period(s) of the entire move.
    (iii) If your mover is transporting the shipment on a guaranteed 
service basis, the guaranteed dates or periods of time for pickup, 
transportation, and delivery. Your mover must enter any penalty or 
per diem requirements upon the agreement under this item.
    (6) The names and addresses of any other motor carriers, when 
known, that will participate in interline transportation of the 
shipment.
    (7) The form of payment your mover will honor at delivery. The 
payment information must be the same as was entered on the estimate.
    (8) The terms and conditions for payment of the total charges, 
including notice of any minimum charges.
    (9) The maximum amount your mover will demand, based on the 
mover's estimate, for you to obtain possession of the shipment at 
the time of delivery, when the household goods are transported on a 
collect-on-delivery basis.
    (10) If not provided in the Bill of Lading, the Surface 
Transportation Board's required released rates valuation statement, 
and the charges, if any, for optional valuation coverage. The STB's 
required released rates may be increased annually by your mover 
based on the U.S. Department of Commerce's Cost of Living 
Adjustment.
    (11) A complete description of any special or accessorial 
services ordered and minimum weight or volume charges applicable to 
the shipment.
    (12) Any identification or registration number your mover 
assigns to the shipment.
    (13) For non-binding estimated charges, your mover's reasonably 
accurate estimate of the amount of the charges, the method of 
payment of total charges, and the maximum amount (110 percent of the 
non-binding estimate) your mover will demand at the time of delivery 
for you to obtain possession of the shipment.
    (14) For binding estimated charges, the amount of charges your 
mover will demand based upon the binding estimate and the terms of 
payment under the estimate.
    (15) An indication of whether you request notification of the 
charges before delivery. You must provide your mover with the 
telephone number(s) or address(es) where your mover will transmit 
such communications.

[[Page 36783]]

    You and your mover must sign the order for service. Your mover 
must provide a dated copy of the order for service to you at the 
time your mover signs the order. Your mover must provide you the 
opportunity to rescind the order for service without any penalty for 
a 3-day period after you sign the order for service, if you 
scheduled the shipment to be loaded more than 3 days after you sign 
the order.
    Your mover should provide you with documents that are as 
complete as possible, and with all charges clearly identified. 
However, as a practical matter, your mover usually cannot give you a 
complete bill of lading before transporting your goods. This is both 
because the shipment cannot be weighed until it is in transit and 
because other charges for service, such as unpacking, storage-in-
transit, and various destination charges, cannot be determined until 
the shipment reaches its destination.
    Therefore, your mover can require you to sign a partially 
complete bill of lading if it contains all relevant information 
except the actual shipment weight and any other information 
necessary to determine the final charges for all services provided. 
Signing the bill of lading allows you to choose the valuation 
option, request special services, and/or acknowledge the terms and 
conditions of released valuation.
    Your mover also may provide you, strictly for informational 
purposes, with blank or incomplete documents pertaining to the move. 
Before loading your shipment, and upon mutual agreement between you 
and your mover, your mover may amend an order for service. Your 
mover must retain records of an order for service it transported for 
at least one year from the date your mover wrote the order.
    Your mover must inform you, before or at the time of loading, if 
the mover reasonably expects a special or accessorial service is 
necessary to transport a shipment safely. Your mover must refuse to 
accept the shipment when your mover reasonably expects a special or 
accessorial service is necessary to transport a shipment safely but 
you refuse to purchase the special or accessorial service. Your 
mover must make a written note if you refuse any special or 
accessorial services that your mover reasonably expects to be 
necessary.

Must My Mover Write Up an Inventory of the Shipment?

    Yes. Your mover must prepare an inventory of your shipment 
before or at the time of loading. If your mover's driver fails to 
prepare an inventory, you should write a detailed inventory of your 
shipment listing any damage or unusual wear to any items. The 
purpose is to make a record of the existence and condition of each 
item.
    After completing the inventory, you should sign each page and 
ask the mover's driver to sign each page. Before you sign it, it is 
important you make sure that the inventory lists every item in the 
shipment and that the entries regarding the condition of each item 
are correct. You have the right to note any disagreement. If an item 
is missing or damaged when your mover delivers the shipment, your 
subsequent ability to dispute the items lost or damaged may depend 
upon your notations.
    You should retain a copy of the inventory. Your mover may keep 
the original if the driver prepared it. If your mover's driver 
completed an inventory, the mover must attach the complete inventory 
to the bill of lading as an integral part of the bill of lading.

Must My Mover Write Up a Bill of Lading?

    The bill of lading is the contract between you and the mover. 
The mover is required by law to prepare a bill of lading for every 
shipment it transports. The information on a bill of lading is 
required to be the same information shown on the order for service. 
The driver who loads your shipment must give you a copy of the bill 
of lading before or at the time of loading your furniture and other 
household goods.
    It is your responsibility to read the bill of lading before you 
accept it. It is your responsibility to understand the bill of 
lading before you sign it. If you do not agree with something on the 
bill of lading, do not sign it until you are satisfied it is 
correct.
    The bill of lading requires the mover to provide the service you 
have requested. You must pay the charges set forth in the bill of 
lading. The bill of lading is an important document. Do not lose or 
misplace your copy. Have it available until your shipment is 
delivered, all charges are paid, and all claims, if any, are 
settled.
    A bill of lading must include the following 14 elements:
    (1) Your mover's name and address, or the name and address of 
the motor carrier issuing the bill of lading.
    (2) The names and addresses of any other motor carriers, when 
known, who will participate in the transportation of the shipment.
    (3) The name, address, and telephone number of the office of the 
motor carrier you must contact in relation to the transportation of 
the shipment.
    (4) The form of payment your mover will honor at delivery. The 
payment information must be the same that was entered on the 
estimate and order for service.
    (5) When your mover transports your shipment under a collect-on-
delivery basis, your name, address, and telephone number where the 
mover will notify you about the charges.
    (6) For non-guaranteed service, the agreed-upon date or period 
of time for pickup of the shipment and the agreed-upon date or 
period of time for the delivery of the shipment. The agreed-upon 
dates or periods for pickup and delivery entered upon the bill of 
lading must conform to the agreed-upon dates or periods of time for 
pickup and delivery entered upon the order for service or a proper 
amendment to the order for service.
    (7) For guaranteed service, the dates for pickup and delivery 
and any penalty or per diem entitlements due you under the 
agreement.
    (8) The actual date of pickup.
    (9) The identification number(s) of the vehicle(s) in which your 
mover loads your shipment.
    (10) The terms and conditions for payment of the total charges 
including notice of any minimum charges.
    (11) The maximum amount your mover, based on the estimate, will 
demand from you at the time of delivery for you to obtain possession 
of your shipment, when your mover transports under a collect-on-
delivery basis.
    (12) If not provided for in the Order for Service, the Surface 
Transportation Board's required released rates valuation statement, 
and the charges, if any, for optional valuation coverage. The 
Board's required released rates may be increased annually by your 
mover based on the U.S. Department of Commerce's Cost of Living 
Adjustment.
    (13) Evidence of any insurance coverage sold to or procured for 
you from an independent insurer, including the amount of the premium 
for such insurance.
    (14) Each attachment to the bill of lading. Each attachment is 
an integral part of the bill of lading contract. If not provided to 
you elsewhere by the mover, the following three items must be added 
as attachments:
    (i) The binding or non-binding estimate.
    (ii) The order for service.
    (iii) The inventory.
    A copy of the bill of lading must accompany your shipment at all 
times while it is in the possession of your mover or its agent(s). 
When your mover loads the shipment on a vehicle for transportation, 
the bill of lading must be in the possession of the driver 
responsible for the shipment. Your mover must retain bills of lading 
for shipments it transported for at least one year from the date 
your mover created the bill of lading.

Should I Reach an Agreement With My Mover About Pickup and Delivery 
Times?

    You and your mover should reach an agreement for pickup and 
delivery times. It is your responsibility to determine on what date, 
or between what dates, you need to have the shipment picked up and 
on what date, or between what dates, you require delivery. It is 
your mover's responsibility to tell you if it can provide service on 
or between those dates, or, if not, on what other dates it can 
provide the service.
    In the process of reaching an agreement with your mover, you may 
find it necessary to alter your moving and travel plans if no mover 
can provide service on the specific dates you desire.
    Do not agree to have your shipment picked up or delivered ''as 
soon as possible.'' The dates or periods you and your mover agree 
upon should be definite.
    Once an agreement is reached, your mover must enter those dates 
upon the order for service and the bill of lading.
    Once your goods are loaded, your mover is contractually bound to 
provide the service described in the bill of lading. Your mover's 
only defense for not providing the service on the dates called for 
is the defense of force majeure. This is a legal term. It means that 
when circumstances change, were not foreseen, and are beyond the 
control of your mover, preventing your mover from performing the 
service agreed to in the bill of lading, your mover is not 
responsible for damages resulting from its nonperformance.
    This may occur when you do not inform your mover of the exact 
delivery

[[Page 36784]]

requirements. For example, because of restrictions trucks must 
follow at your new location, the mover may not be able to take its 
truck down the street of your residence and may need to shuttle the 
shipment using another type of vehicle.

Must My Mover Determine the Weight of My Shipment?

    Generally, yes. If your mover transports your household goods on 
a non-binding estimate, your mover must determine the actual weight 
of the shipment in order to calculate its lawful tariff charge. If 
your mover provided a binding estimate and has loaded your shipment 
without claiming you have added additional items or services, the 
weight of the shipment will not affect the charges you will pay.
    Your mover must determine the weight of your shipment before 
requesting you to pay for any charges dependent upon your shipment's 
weight.
    Most movers have a minimum weight charge for transporting a 
shipment. Generally, the minimum is the charge for transporting a 
shipment of at least 3,000 pounds (1,362 kilograms).
    If your shipment appears to weigh less than the mover's minimum 
weight, your mover must advise you on the order for service of the 
minimum cost before transporting your shipment. Should your mover 
fail to advise you of the minimum charges and your shipment is less 
than the minimum weight, your mover must base your final charges 
upon the actual weight, not upon the minimum weight.

How Must My Mover Determine the Weight of My Shipment?

    Your mover must weigh your shipment upon a certified scale.
    The weight of your shipment must be obtained by using one of two 
methods:
    Origin Weighing--Your mover may weigh your shipment in the city 
or area where it loads your shipment. If it elects this option, the 
driver must weigh the truck before coming to your residence. This is 
called the tare weight. At the time of this first weighing, the 
truck may already be partially loaded with another shipment(s). This 
will not affect the weight of your shipment. The truck should also 
contain the pads, dollies, hand trucks, ramps, and other equipment 
normally used in the transportation of household goods shipments.
    After loading, the driver will weigh the truck again to obtain 
the loaded weight, called the gross weight. The net weight of your 
shipment is then obtained by subtracting the tare weight before 
loading from the gross weight.
    Gross Weight less the Tare Weight Before Loading = Net Weight.
    Destination Weighing (Also called Back Weighing)--The mover is 
also permitted to determine the weight of your shipment at the 
destination after it delivers your load. Weighing your shipment at 
destination instead of at origin will not affect the accuracy of the 
shipment weight. The most important difference is that your mover 
will not determine the exact charges on your shipment before it is 
unloaded.
    Destination weighing is done in reverse of origin weighing. 
After arriving in the city or area where you are moving, the driver 
will weigh the truck. Your shipment will still be on the truck. Your 
mover will determine the gross weight before coming to your new 
residence to unload. After unloading your shipment, the driver will 
again weigh the truck to obtain the tare weight. The net weight of 
your shipment will then be obtained by subtracting the tare weight 
after delivery from the gross weight.
    Gross Weight less the Tare Weight After Delivery = Net Weight.
    At the time of both weighings, your mover's truck must have 
installed or loaded all pads, dollies, hand trucks, ramps, and other 
equipment required in the transportation of your shipment. The 
driver and other persons must be off the vehicle at the time of both 
weighings. The fuel tanks on the vehicle must be full at the time of 
each weighing; or, if the fuel tanks are not full, your mover must 
not add fuel between the two weighings when the tare weighing is the 
first weighing performed.
    Your mover may detach the trailer of a tractor-trailer vehicle 
combination from the tractor and have the trailer weighed separately 
at each weighing, provided the length of the scale platform is 
adequate to accommodate and support the entire trailer.
    Your mover may use an alternative method to weigh your shipment 
if it weighs 3,000 pounds (1,362 kilograms) or less. The only 
alternative method allowed is weighing the shipment upon a platform 
or warehouse certified scale before loading your shipment for 
transportation or after unloading.
    Your mover must use the net weight of shipments transported in 
large containers, such as ocean or railroad containers. Your mover 
will calculate the difference between the tare weight of the 
container (including all pads, blocking and bracing used in the 
transportation of your shipment) and the gross weight of the 
container with your shipment loaded in the container.
    You have the right, and your mover must inform you of your 
right, to observe all weighings of your shipment. Your mover must 
tell you where and when each weighing will occur. Your mover must 
give you a reasonable opportunity to be present to observe the 
weighings.
    You may waive your right to observe any weighing or reweighing. 
This does not affect any of your other rights under Federal law.
    Your mover may request that you waive your right to have a 
shipment weighed upon a certified scale. Your mover may want to 
weigh the shipment upon a trailer's on-board, non-certified scale. 
You should demand your right to have a certified scale used. The use 
of a non-certified scale may cause you to pay a higher final bill 
for your move, if the non-certified scale does not accurately weigh 
your shipment. Remember that certified scales are inspected and 
approved for accuracy by a government inspection or licensing 
agency. Non-certified scales are not inspected and approved for 
accuracy by a government inspection or licensing agency.
    Your mover must obtain a separate weight ticket for each 
weighing. The weigh master must sign each weight ticket. Each weight 
ticket must contain the following six items:
    (1) The complete name and location of the scale.
    (2) The date of each weighing.
    (3) Identification of the weight entries as being the tare, 
gross, or net weights.
    (4) The company or mover identification of the vehicle.
    (5) Your last name as it appears on the Bill of Lading.
    (6) Your mover's shipment registration or Bill of Lading number.
    Your mover must retain the original weight ticket or tickets 
relating to the determination of the weight of your shipment as part 
of its file on your shipment. When both weighings are performed on 
the same scale, one weight ticket may be used to record both 
weighings.
    Your mover must present all freight bills with true copies of 
all weight tickets. If your mover does not present its freight bill 
with all weight tickets, your mover is in violation of Federal law.
    Before the driver actually begins unloading your shipment 
weighed at origin and after your mover informs you of the billing 
weight and total charges, you have the right to demand a reweigh of 
your shipment. If you believe the weight is not accurate, you have 
the right to request your mover reweigh your shipment before 
unloading.
    You have the right, and your mover must inform you of your 
right, to observe all reweighings of your shipment. Your mover must 
tell you where and when each reweighing will occur. Your mover must 
give you a reasonable opportunity to be present to observe the 
reweighing. You may waive your right to observe any reweighing; 
however, you must waive that right in writing. You may send the 
written waiver via fax or e-mail, as well as by overnight courier or 
certified mail, return receipt requested. This does not affect any 
of your other rights under Federal law.
    Your mover is prohibited from charging you for the reweighing. 
If the weight of your shipment at the time of the reweigh is 
different from the weight determined at origin, your mover must 
recompute the charges based upon the reweigh weight.
    Before requesting a reweigh, you may find it to your advantage 
to estimate the weight of your shipment using the following three-
step method:
    1. Count the number of items in your shipment. Usually there 
will be either 30 or 40 items listed on each page of the inventory. 
For example, if there are 30 items per page and your inventory 
consists of four complete pages and a fifth page with 15 items 
listed, the total number of items will be 135. If an automobile is 
listed on the inventory, do not include this item in the count of 
the total items.
    2. Subtract the weight of any automobile included in your 
shipment from the total weight of the shipment. If the automobile 
was not weighed separately, its weight can be found on its title or 
license receipt.
    3. Divide the number of items in your shipment into the weight. 
If the average weight resulting from this exercise ranges between 35 
and 45 pounds (16 and 20 kilograms) per article, it is unlikely a 
reweigh will prove beneficial to you. In fact, it could result in 
your paying higher charges.

[[Page 36785]]

    Experience has shown that the average shipment of household 
goods will weigh about 40 pounds (18 kilograms) per item. If a 
shipment contains a large number of heavy items, such as cartons of 
books, boxes of tools or heavier than average furniture, the average 
weight per item may be 45 pounds or more (20 kilograms or more).

What Must My Mover Do if I Want To Know the Actual Weight or Charges 
for My Shipment Before Delivery?

    If you request notification of the actual weight and charges of 
your shipment, your mover must comply with your request if it is 
moving your goods on a collect-on-delivery basis. This requirement 
is conditioned upon your supplying your mover with an address or 
telephone number where you will receive the communication. Your 
mover must make its notification by telephone; fax transmissions; e-
mail; overnight courier; certified mail, return receipt requested; 
or in person.
    You must receive the mover's notification at least one full 24-
hour day before its scheduled delivery, excluding Saturdays, 
Sundays, and Federal holidays.
    Your mover may disregard this 24-hour notification requirement 
on shipments subject to one of the following three things:
    (1) Back weigh (when your mover weighs your shipment at its 
destination).
    (2) Pickup and delivery encompassing two consecutive weekdays, 
if you agree.
    (3) Maximum payment amounts at time of delivery of 110 percent 
of the estimated charges, if you agree.

Subpart F--Transportation of My Shipment

Must My Mover Transport the Shipment in a Timely Manner?

    Yes, your mover must transport your household goods in a timely 
manner. This is also known as ''reasonable dispatch service.'' Your 
mover must provide reasonable dispatch service to you, except for 
transportation on the basis of guaranteed delivery dates.
    When your mover is unable to perform either the pickup or 
delivery of your shipment on the dates or during the periods of time 
specified in the order for service, your mover must notify you of 
the delay, at the mover's expense. As soon as the delay becomes 
apparent to your mover, it must give you notification it will be 
unable to provide the service specified in the terms of the order 
for service. Your mover may notify you of the delay in any of the 
following ways: By telephone; fax transmissions; e-mail; overnight 
courier; certified mail, return receipt requested; or in person.
    When your mover notifies you of a delay, it also must advise you 
of the dates or periods of time it may be able to pick up and/or 
deliver the shipment. Your mover must consider your needs in its 
advisement. Your mover must prepare a written record of the date, 
time, and manner of its notification.
    Your mover must prepare a written record of its amended date or 
period for delivery. Your mover must retain these records as a part 
of its file on your shipment. The retention period is one year from 
the date of notification. Your mover must furnish a copy of the 
notification to you either by first class mail or in person, if you 
request a copy of the notice.
    Your mover must tender your shipment for delivery on the agreed-
upon delivery date or within the period specified on the bill of 
lading. Upon your request or concurrence, your mover may deliver 
your shipment on another day.
    The establishment of a delayed pickup or delivery date does not 
relieve your mover from liability for damages resulting from your 
mover's failure to provide service as agreed. However, when your 
mover notifies you of alternate delivery dates, it is your 
responsibility to be available to accept delivery on the dates 
specified. If you are not available and are not willing to accept 
delivery, your mover has the right to place your shipment in storage 
at your expense or hold the shipment on its truck and assess 
additional charges.
    If after the pickup of your shipment, you request your mover to 
change the delivery date, most movers will agree to do so provided 
your request will not result in unreasonable delay to its equipment 
or interfere with another customer's move. However, your mover is 
under no obligation to consent to amended delivery dates. Your mover 
has the right to place your shipment in storage at your expense if 
you are unwilling or unable to accept delivery on the date agreed to 
in the bill of lading.
    If your mover fails to pick up and deliver your shipment on the 
date entered on the bill of lading and you have expenses you 
otherwise would not have had, you may be able to recover those 
expenses from your mover. This is what is called an inconvenience or 
delay claim. Should your mover refuse to honor such a claim and you 
continue to believe you are entitled to be paid damages, you may 
take your mover to court under 49 U.S.C. 14706. The Federal Motor 
Carrier Safety Administration (FMCSA) has no authority to order your 
mover to pay such claims.
    While we hope your mover delivers your shipment in a timely 
manner, you should consider the possibility your shipment may be 
delayed, and find out what payment you can expect if a mover delays 
service through its own fault, before you agree with the mover to 
transport your shipment.

What Must My Mover Do if It Is Able To Deliver My Shipment More Than 24 
Hours Before I Am Able To Accept Delivery?

    At your mover's discretion, it may place your shipment in 
storage. This will be under its own account and at its own expense 
in a warehouse located in proximity to the destination of your 
shipment. Your mover may do this if you fail to request or concur 
with an early delivery date, and your mover is able to deliver your 
shipment more than 24 hours before your specified date or the first 
day of your specified period.
    If your mover exercises this option, your mover must immediately 
notify you of the name and address of the warehouse where your mover 
places your shipment. Your mover must make and keep a record of its 
notification as a part of its shipment records. Your mover has full 
responsibility for the shipment under the terms and conditions of 
the bill of lading. Your mover is responsible for the charges for 
redelivery, handling, and storage until it makes final delivery. 
Your mover may limit its responsibility to the agreed-upon delivery 
date or the first day of the period of delivery as specified in the 
bill of lading.

What Must My Mover Do for Me When I Store Household Goods in Transit?

    If you request your mover to hold your household goods in 
storage-in-transit and the storage period is about to expire, your 
mover must notify you, in writing, about the four following items:
    (1) The date when storage-in-transit will convert to permanent 
storage.
    (2) The existence of a 9-month period after the date of 
conversion to permanent storage, during which you may file claims 
against your mover for loss or damage occurring to your goods while 
in transit or during the storage-in-transit period.
    (3) The date your mover's liability will end.
    (4) Your property will be subject to the rules, regulations, and 
charges of the warehouseman.
    Your mover must make this notification at least 10 days before 
the expiration date of one of the following two periods of time:
    (1) The specified period of time when your mover is to hold your 
goods in storage.
    (2) The maximum period of time provided in its tariff for 
storage-in-transit.
    Your mover must notify you by facsimile transmission; overnight 
courier; e-mail; or certified mail, return receipt requested.
    If your mover holds your household goods in storage-in-transit 
for less than 10 days, your mover must notify you, one day before 
the storage-in-transit period expires, of the same information 
specified above.
    Your mover must maintain a record of all notifications to you as 
part of the records of your shipment. Under the applicable tariff 
provisions regarding storage-in-transit, your mover's failure or 
refusal to notify you will automatically extend your mover's 
liability until the end of the day following the date when your 
mover actually gives you notice.

Subpart G--Delivery of My Shipment

May My Mover Ask Me To Sign a Delivery Receipt Purporting To Release It 
From Liability?

    At the time of delivery, your mover will expect you to sign a 
receipt for your shipment. Normally, you will sign each page of your 
mover's copy of the inventory.
    Your mover's delivery receipt or shipping document must not 
contain any language purporting to release or discharge it or its 
agents from liability.
    Your mover may include a statement about your receipt of your 
property in apparent good condition, except as noted on the shipping 
documents.
    Do not sign the delivery receipt if it contains any language 
purporting to release or discharge your mover or its agents from 
liability. Strike out such language before

[[Page 36786]]

signing, or refuse delivery if the driver or mover refuses to 
provide a proper delivery receipt.

What Is the Maximum Collect-on-Delivery Amount My Mover May Demand I 
Pay at the Time of Delivery?

    On a binding estimate, the maximum amount is the exact estimate 
of the charges, plus the charges for any additional services you 
requested after the bill of lading was executed (charges therefore 
not included in the estimate) and any charges for impracticable 
operations (not to exceed 15 percent of all other charges due at 
delivery). Your mover must specify on the estimate, order for 
service, and bill of lading the form of payment acceptable to it 
(for example, a certified check).
    On a non-binding estimate, the maximum amount is 110 percent of 
the approximate costs, plus the charges for any additional services 
you requested after the bill of lading was executed (charges 
therefore not included in the estimate) and any charges for 
impracticable operations (not to exceed 15 percent of all other 
charges due at delivery). Your mover must specify on the estimate, 
order for service, and bill of lading the form of payment acceptable 
to it (for example, cash).

If My Shipment Is Transported on More Than One Vehicle, What Charges 
May My Mover Collect at Delivery?

    Although all movers try to move each shipment on one truck, it 
becomes necessary at times to divide a shipment among two or more 
trucks. This frequently occurs when an automobile is included in the 
shipment and transported on a specially designed vehicle. When this 
occurs, your transportation charges are the same as if the entire 
shipment moved on one truck.
    If your shipment is divided for transportation on two or more 
trucks, the mover may require payment for each portion as it is 
delivered.
    Your mover may delay the collection of all the charges until the 
entire shipment is delivered, at its discretion, not yours. When you 
order your move, you should ask the mover about its policies in this 
regard.

If My Shipment Is Partially Lost or Destroyed, What Charges May My 
Mover Collect at Delivery?

    Movers customarily make every effort to avoid losing, damaging, 
or destroying any of your items while your shipment is in their 
possession for transportation. However, despite the precautions 
taken, articles are sometimes lost or destroyed during the move.
    In addition to any money you may recover from your mover to 
compensate for lost or destroyed articles, you also may recover the 
transportation charges represented by the portion of the shipment 
lost or destroyed. Your mover may apply this paragraph only to the 
transportation of household goods. Your mover may disregard this 
paragraph if loss or destruction was due to an act or omission by 
you. Your mover must require you to pay any specific valuation 
charge due.
    For example, if you pack a hazardous material (i.e., gasoline, 
aerosol cans, motor oil, etc.) and your shipment is partially lost 
or destroyed by fire in storage or in the mover's trailer, your 
mover may require you to pay for the full cost of transportation.
    If your shipment is partially lost or destroyed, your mover is 
permitted to collect at delivery only a prorated percentage based on 
the freight charges for the goods actually delivered, plus the 
charges for any additional services you requested after the bill of 
lading was executed and any charges for impracticable operations. 
Charges for impracticable operations collected at delivery must not 
exceed 15 percent of the total charges your mover collects at 
delivery.
    Your mover is forbidden from collecting, or requiring you to 
pay, any freight charges (including any charges for accessorial or 
terminal services) when your household goods shipment is totally 
lost or destroyed in transit, unless the loss or destruction was due 
to an act or omission by you.

How Must My Mover Calculate the Charges Applicable to the Shipment as 
Delivered?

    Your mover must multiply the percentage equal to the weight of 
the portion of the shipment delivered to the total weight of the 
shipment times the total charges applicable to the shipment tendered 
by you to obtain the total charges it must collect from you.
    If your mover's computed charges exceed the charges otherwise 
applicable to the shipment as delivered, the lesser of those charges 
must apply. This will apply only to the transportation of your 
household goods.
    Your mover must require you to pay any specific valuation charge 
due.
    Your mover may not refund the freight charges if the loss or 
destruction was due to an act or omission by you. For example, you 
fail to disclose to your mover that your shipment contains 
perishable live plants. Your mover may disregard its loss or 
destruction of your plants because you failed to inform your mover 
you were transporting live plants.
    Your mover must determine, at its own expense, the proportion of 
the shipment, based on actual or constructive weight, not lost or 
destroyed in transit.
    Your rights are in addition to, and not in lieu of, any other 
rights you may have with respect to your shipment of household goods 
your mover lost or destroyed, or partially lost or destroyed, in 
transit. This applies whether or not you have exercised your rights 
provided above.

Subpart H--Collection of Charges

Does This Subpart Apply to Most Shipments?

    It applies to all shipments of household goods that involve a 
balance due freight or expense bill or are shipped on credit.

How Must My Mover Present Its Freight or Expense Bill to Me?

    At the time of payment of transportation charges, your mover 
must give you a freight bill identifying the service provided and 
the charge for each service. It is customary for most movers to use 
a copy of the bill of lading as a freight bill; however, some movers 
use an entirely separate document for this purpose.
    Except in those instances where a shipment is moving on a 
binding estimate, the freight bill must specifically identify each 
service performed, the rate or charge per service performed, and the 
total charges for each service. If this information is not on the 
freight bill, do not accept or pay the freight bill.
    Movers' tariffs customarily specify that freight charges must be 
paid in cash, by certified check, or by cashier's check. When this 
requirement exists, the mover will not accept personal checks. At 
the time you order your move, you should ask your mover about the 
form of payment your mover requires.
    Some movers permit payment of freight charges by use of a charge 
or credit card. However, do not assume your nationally recognized 
charge, credit, or debit card will be acceptable for payment. Ask 
your mover at the time you request an estimate. Your mover must 
specify the form of payment it will accept at delivery.
    If you do not pay the transportation charges at the time of 
delivery, your mover has the right, under the bill of lading, to 
refuse to deliver your goods. The mover may place them in storage, 
at your expense, until the charges are paid. However, the mover must 
deliver your goods upon payment of 100 percent of a binding 
estimate, plus the charges for any additional services you requested 
after the bill of lading was executed (charges therefore not 
included in the estimate) and any charges for impracticable 
operations (not to exceed 15 percent of all other charges due at 
delivery).
    If, before payment of the transportation charges, you discover 
an error in the charges, you should attempt to correct the error 
with the driver or the mover's local agent, or by contacting the 
mover's main office. If an error is discovered after payment, you 
should write the mover (the address will be on the freight bill) 
explaining the error, and request a refund.
    Movers customarily check all shipment files and freight bills 
after a move has been completed to make sure the charges were 
accurate. If an overcharge is found, you should be notified and a 
refund should be made. If an undercharge occurred, you may be billed 
for the additional charges due.
    On ``to be prepaid'' shipments, your mover must present its 
freight bill for all transportation charges within 15 days of the 
date your mover received the shipment. This period excludes 
Saturdays, Sundays, and Federal holidays.
    On ``collect'' shipments, your mover must present its freight 
bill for all transportation charges on the date of delivery, or, at 
its discretion, within 15 days, calculated from the date the 
shipment was delivered at your destination. This period excludes 
Saturdays, Sundays, and Federal holidays. (Bills for additional 
charges based on the weight of the shipment will be presented 30 
days after delivery; charges for impracticable operations not paid 
at delivery are due within 30 days of the invoice.) Your mover's 
freight bills and accompanying written notices must state the 
following five items:
    (1) Penalties for late payment.
    (2) Credit time limits.
    (3) Service or finance charges.

[[Page 36787]]

    (4) Collection expense charges.
    (5) Discount terms.
    If your mover extends credit to you, freight bills or a separate 
written notice accompanying a freight bill or a group of freight 
bills presented at one time must state, ``You may be subject to 
tariff penalties for failure to timely pay freight charges,'' or a 
similar statement. Your mover must state on its freight bills or 
other notices when it expects payment and any applicable service 
charges, collection expense charges, and discount terms.
    When your mover lacks sufficient information to compute its 
tariff charges at the time of billing, your mover must present its 
freight bill for payment within 15 days following the day when 
sufficient information becomes available. This period excludes 
Saturdays, Sundays, and Federal holidays.
    Your mover must not extend additional credit to you if you fail 
to furnish sufficient information to your mover. Your mover must 
have sufficient information to render a freight bill within a 
reasonable time after shipment.
    When your mover presents freight bills by mail, it must deem the 
time of mailing to be the time of presentation of the bills. The 
term ``freight bills,'' as used in this paragraph, includes both 
paper documents and billing by use of electronic media such as 
computer tapes, disks, or the Internet (e-mail).
    When you mail acceptable checks or drafts in payment of freight 
charges, your mover must deem the act of mailing the payment within 
the credit period to be the proper collection of the tariff charges 
within the credit period for the purposes of Federal law. In case of 
a dispute as to the date of mailing, your mover must accept the 
postmark as the date of mailing.

If I Forced My Mover To Relinquish a Collect-on-Delivery Shipment 
Before the Payment of ALL Charges, How Must My Mover Collect the 
Balance?

    On ``collect-on-delivery'' shipments, your mover must present 
its freight bill for transportation charges within 15 days, 
calculated from the date the shipment was delivered at your 
destination. This period excludes Saturdays, Sundays, and Federal 
holidays. (Bills for additional charges based on the weight of the 
shipment will be presented 30 days after delivery; charges for 
impracticable operations not paid at delivery are due within 30 days 
of the invoice.)

What Actions May My Mover Take To Collect From Me the Charges in Its 
Freight Bill?

    Your mover must present a freight bill within 15 days (excluding 
Saturdays, Sundays, and Federal holidays) of the date of delivery of 
a shipment at your destination. (Bills for additional charges based 
on the weight of the shipment will be presented 30 days after 
delivery; charges for impracticable operations not paid at delivery 
are due within 30 days of the invoice.)
    Your mover must provide in its tariffs the following three 
things:
    (1) A provision indicating its credit period is a total of 30 
calendar days.
    (2) A provision indicating you will be assessed a service charge 
by your mover equal to one percent of the amount of the freight 
bill, subject to a $20 minimum charge, for the extension of the 
credit period. The mover will assess the service charge for each 30-
day extension that the charges go unpaid.
    (3) A provision that your mover must deny credit to you if you 
fail to pay a duly presented freight bill within the 30-day period. 
Your mover may grant credit to you, at its discretion, when you 
satisfy your mover's condition that you will pay all future freight 
bills duly presented. Your mover must ensure all your payments of 
freight bills are strictly in accordance with Federal rules and 
regulations for the settlement of its rates and charges.

Do I Have a Right To File a Claim To Recover Money for Property My 
Mover Lost or Damaged?

    Should your move result in the loss of or damage to any of your 
property, you have the right to file a claim with your mover to 
recover money for such loss or damage.
    You should file a claim as soon as possible. If you fail to file 
a claim within 9 months, your mover may not be required to accept 
your claim. If you institute a court action and win, you may be 
entitled to attorney's fees if you submitted your claim to the 
carrier within 120 days after delivery or the scheduled date of 
delivery (whichever is later), and (1) the mover did not advise you 
during the claim settlement process of the availability of 
arbitration as a means for resolving the dispute; (2) a decision was 
not rendered through arbitration within the time required by law; or 
(3) you are instituting a court action to enforce an arbitration 
decision with which the mover has not complied.
    While the Federal Government maintains regulations governing the 
processing of loss and damage claims (49 CFR part 370), it cannot 
resolve those claims. If you cannot settle a claim with the mover, 
you may file a civil action to recover your claim in court under 49 
U.S.C. 14706. You may obtain the name and address of the mover's 
agent for service of legal process in your State by contacting the 
Federal Motor Carrier Safety Administration. You may also obtain the 
name of a process agent via the Internet. Go to http.//
www.fmcsa.dot.gov then click on Licensing and Insurance (L&I) 
section.
    In addition, your mover must participate in an arbitration 
program. As described earlier in this pamphlet, an arbitration 
program gives you the opportunity to settle, through a neutral 
arbitrator, certain types of unresolved loss or damage claims and 
disputes regarding charges that were billed to you by your mover 
after your shipment was delivered. You may find submitting your 
claim to arbitration under such a program to be a less expensive and 
more convenient way to seek recovery of your claim. Your mover is 
required to provide you with information about its arbitration 
program before you move. If your mover fails to do so, ask the mover 
for details of its program.

Subpart I--Resolving Disputes With My Mover

What May I Do To Resolve Disputes With My Mover?

The Federal Motor Carrier Safety Administration Does Not Help You 
Settle Your Dispute With Your Mover

    Generally, you must resolve your own loss and damage disputes 
with your mover. You enter a contractual arrangement with your 
mover. You are bound by each of the following three things:
    (1) The terms and conditions you negotiated before your move.
    (2) The terms and conditions you accepted when you signed the 
bill of lading.
    (3) The terms and conditions you accepted when you signed for 
delivery of your goods.
    You have the right to take your mover to court. We require your 
mover to offer you arbitration to settle your disputes with it.

PART 383--COMMERCIAL DRIVER'S LICENSE STANDARDS; REQUIREMENTS AND 
PENALTIES

0
29. The authority citation for part 383 continues to read as follows:

    Authority: 49 U.S.C. 521, 31136, 31301 et seq., 31502; Sec. 214 
of Pub. L. 106-159, 113 Stat. 1766; Sec. 1012(b) of Pub. L. 107-56, 
115 Stat. 397; and 49 CFR 1.73.


0
30. Amend Sec.  383.51 to revise table 4 of paragraph (e) to read as 
follows:


Sec.  383.51  Disqualification of drivers.

* * * * *
    (e) * * *

[[Page 36788]]



                                            TABLE 4 TO Sec.   383.51
----------------------------------------------------------------------------------------------------------------
                                                                For a second conviction       For a third or
                                                                 in a separate incident   subsequent conviction
                                        For a first conviction  within a 10-year period   in a separate incident
                                        while operating a CMV,   while operating a CMV,  within a 10-year period
                                         a person required to     a person required to    while operating a CMV,
  If a driver operates a CMV and is      have a CDL and a CDL     have a CDL and a CDL     a person required to
          convicted of . . .                holder must be           holder must be        have a CDL and a CDL
                                          disqualified from        disqualified from          holder must be
                                       operating a CMV for . .  operating a CMV for . .     disqualified from
                                                  .                        .              operating a CMV  for .
                                                                                                   . .
----------------------------------------------------------------------------------------------------------------
(1) Violating a driver or vehicle out- No less than 180 days    No less than 2 years or  No less than 3 years or
 of-service order while transporting    or more than 1 year.     more than 5 years.       more than 5 years.
 nonhazardous materials.
(2) Violating a driver or vehicle out- No less than 180 days    No less than 3 years or  No less than 3 years or
 of-service order while transporting    or more than 2 years.    more than 5 years.       more than 5 years.
 hazardous materials required to be
 placarded under part 172, subpart F
 of this title, or while operating a
 vehicle designed to transport 16 or
 more passengers, including the
 driver.
----------------------------------------------------------------------------------------------------------------


0
31. Amend Sec.  383.53 to revise paragraph (b) to read as follows:


Sec.  383.53  Penalties.

* * * * *
    (b) Special penalties pertaining to violation of out-of-service 
orders--(1) Driver violations. A driver who is convicted of violating 
an out-of-service order shall be subject to a civil penalty of not less 
than $2,500 for a first conviction and not less than $5,000 for a 
second or subsequent conviction, in addition to disqualification under 
Sec.  383.51(e).
    (2) Employer violations. An employer who is convicted of a 
violation of Sec.  383.37(c) shall be subject to a civil penalty of not 
less than $2,750 nor more than $25,000.
* * * * *

PART 384--STATE COMPLIANCE WITH COMMERCIAL DRIVER'S LICENSE PROGRAM

0
32. The authority citation for part 384 continues to read as follows:

    Authority: 49 U.S.C. 31136, 31301 et seq., 31502; Sec. 103 of 
Pub. L. 106-159, 113 Stat. 1753, 1767; Sec. 4140 of Pub. L. 109-59, 
119 Stat. 1144; and 49 CFR 1.73.


0
33. Amend Sec.  384.301 to add paragraph (c) to read as follows:


Sec.  384.301  Substantial compliance--general requirements.

* * * * *
    (c) A State must come into substantial compliance with the 
requirements of subpart B of this part in effect as of September 4, 
2007 as soon as practical but, unless otherwise specifically provided 
in this part, not later than September 4, 2010.

0
34. Revise Sec.  384.401 to read as follows:


Sec.  384.401  Withholding of funds based on noncompliance.

    (a) Following the first year of noncompliance. An amount up to 5 
percent of the Federal-aid highway funds required to be apportioned to 
any State under each of sections 104(b)(1), (b)(3), and (b)(4) of title 
23 U.S.C. shall be withheld from a State on the first day of the fiscal 
year following such State's first year of noncompliance under this 
part.
    (b) Following second and subsequent year(s) of noncompliance. An 
amount up to 10 percent of the Federal-aid highway funds required to be 
apportioned to any State under each of sections 104(b)(1), (b)(3), and 
(b)(4) of title 23 U.S.C. shall be withheld from a State on the first 
day of the fiscal year following such State's second or subsequent 
year(s) of noncompliance under this part.

PART 385--SAFETY FITNESS PROCEDURES [AMENDED]

0
35. The authority citation for part 385 continues to read as follows:

    Authority: 49 U.S.C 113, 504, 521(b), 5105(e), 5109, 5113, 
13901-13905, 31136, 31144, 31148, 31502; Sec. 350 of Pub. L. 107-87; 
and 49 CFR 1.73.


0
36. Amend Sec.  385.3 to add, in correct alphabetical placement, a 
definition for ``motor carrier operations in commerce'' to read as 
follows:


Sec.  385.3  Definitions and acronyms.

* * * * *
    Motor carrier operations in commerce means commercial motor vehicle 
transportation operations either--
    (1) In interstate commerce, or
    (2) Affecting interstate commerce.
* * * * *

0
37. Amend Sec.  385.7 to revise paragraphs (c), (d), (f), and (g) to 
read as follows:


Sec.  385.7  Factors to be considered in determining a safety rating.

* * * * *
    (c) Frequency and severity of driver/vehicle regulatory violations 
identified during roadside inspections of motor carrier operations in 
commerce and, if the motor carrier operates in the United States, of 
operations in Canada and Mexico.
    (d) Number and frequency of out-of-service driver/vehicle 
violations of motor carrier operations in commerce and, if the motor 
carrier operates in the United States, of operations in Canada and 
Mexico.
* * * * *
    (f) For motor carrier operations in commerce and (if the motor 
carrier operates in the United States) in Canada and Mexico: Frequency 
of accidents; hazardous materials incidents; accident rate per million 
miles; indicators of preventable accidents; and whether such accidents, 
hazardous materials incidents, and preventable accident indicators have 
increased or declined over time.
    (g) Number and severity of violations of CMV and motor carrier 
safety rules, regulations, standards, and orders that are both issued 
by a State, Canada, or Mexico and compatible with Federal rules, 
regulations, standards, and orders.

0
38. Amend Sec.  385.13 to revise paragraphs (a)(1), (a)(2), and (d) to 
read as follows:


Sec.  385.13  Unsatisfactory rated motor carriers; prohibition on 
transportation; ineligibility for Federal contracts.

    (a) * * *
    (1) Motor carriers transporting hazardous materials in quantities 
requiring placarding, and motor carriers transporting passengers in a 
CMV, are prohibited from operating a CMV in motor carrier operations in 
commerce beginning on the 46th day after the date

[[Page 36789]]

of the FMCSA notice of proposed ``unsatisfactory'' rating.
    (2) All other motor carriers rated as a result of reviews completed 
on or after November 20, 2000, are prohibited from operating a CMV in 
motor carrier operations in commerce beginning on the 61st day after 
the date of the FMCSA notice of proposed ``unsatisfactory'' rating. If 
FMCSA determines that the motor carrier is making a good-faith effort 
to improve its safety fitness, FMCSA may allow the motor carrier to 
operate for up to 60 additional days.
* * * * *
    (d) Penalties. (1) If a proposed ``unsatisfactory'' safety rating 
becomes final, FMCSA will issue an order placing out of service the 
company's motor carrier operations in commerce. The out-of-service 
order shall apply both to the motor carrier's operations in interstate 
commerce and to its operations affecting interstate commerce.
    (2) If a motor carrier's intrastate operations are declared out of 
service by a State, FMCSA must issue an order placing out of service 
the carrier's operations in interstate commerce, provided the following 
two conditions apply:
    (i) The State that issued the intrastate out-of-service order 
participates in the Motor Carrier Safety Assistance Program and uses 
the FMCSA safety rating methodology provided in this part; and
    (ii) The motor carrier has its principal place of business in the 
State that issued the out-of-service order.
    (3) FMCSA shall prohibit the owner or operator from operating such 
vehicle in interstate commerce until the State determines that the 
owner or operator is fit.
    (4) Any motor carrier that operates CMVs in violation of this 
section is subject to the penalty provisions of 49 U.S.C. 521(b) and 
appendix B to part 386 of this chapter.

0
39. Amend Sec.  385.17 to revise paragraph (g) to read as follows:


Sec.  385.17  Change to safety rating based upon corrective actions.

* * * * *
    (g) FMCSA may allow a motor carrier (except a motor carrier 
transporting passengers or a motor carrier transporting hazardous 
materials in quantities requiring placarding) with a proposed rating of 
``unsatisfactory'' to continue its motor carrier operations in commerce 
for up to 60 days beyond the 60 days specified in the proposed rating, 
if FMCSA determines that the motor carrier is making a good faith 
effort to improve its safety status. This additional period would begin 
on the 61st day after the date of the notice of proposed 
``unsatisfactory'' rating.
* * * * *

0
40. Amend appendix B to part 385 to add paragraph (f) preceding section 
I and to amend section II(B) by republishing its heading and revising 
paragraph (a), to read as follows:

Appendix B to Part 385--Explanation of Safety Rating Process

* * * * *
    (f) The safety rating will be determined by applying the SFRM 
equally to all of a company's motor carrier operations in commerce, 
including if applicable its operations in Canada and/or Mexico.
* * * * *

II. * * *

    B. Accident Factor
    (a) In addition to the five regulatory rating factors, a sixth 
factor is included in the process to address the accident history of 
the motor carrier. This factor is the recordable accident rate for 
the past 12 months. A recordable accident, consistent with the 
definition for ``accident'' in 49 CFR 390.5, means an occurrence 
involving a commercial motor vehicle on a highway in motor carrier 
operations in commerce or within Canada or Mexico (if the motor 
carrier also operates in the United States) that results in a 
fatality; in bodily injury to a person who, as a result of the 
injury, immediately receives medical treatment away from the scene 
of the accident; or in one or more motor vehicles incurring 
disabling damage that requires the motor vehicle to be transported 
away from the scene by a tow truck or other motor vehicle.

PART 386--RULES OF PRACTICE FOR MOTOR CARRIER, BROKER, FREIGHT 
FORWARDER, AND HAZARDOUS MATERIALS PROCEEDINGS

0
41. The authority citation for part 386 is revised to read as follows:

    Authority: 49 U.S.C. 521, 5123, 13301, 13902, 14915, 31132-
31133, 31136, 31144, 31502, 31504; Sec. 204, Pub. L. 104-88, 109 
Stat. 803, 941 (49 U.S.C. 701 note); Sec. 217, Pub. L. 105-159, 113 
Stat. 1748, 1767; and 49 CFR 1.73.


0
42. Amend Appendix B to part 386 by revising paragraphs (e)(1) through 
(3), adding paragraphs (e)(4) and (5), revising paragraph (f), and 
adding paragraphs (g)(21) and (h), to read as follows:

Appendix B to Part 386--Penalty Schedule; Violations and Maximum Civil 
Penalties

* * * * *
    (e) * * *
    (1) All knowing violations of 49 U.S.C. chapter 51 or orders or 
regulations issued under the authority of that chapter applicable to 
the transportation or shipment of hazardous materials by commercial 
motor vehicle on highways are subject to a civil penalty of not less 
than $250 and not more than $50,000 for each violation. Each day of 
a continuing violation constitutes a separate offense.
    (2) All knowing violations of 49 U.S.C. chapter 51 or orders or 
regulations issued under the authority of that chapter applicable to 
training related to the transportation or shipment of hazardous 
materials by commercial motor vehicle on highways are subject to a 
civil penalty of not less than $450 and not more than $50,000 for 
each violation.
    (3) All knowing violations of 49 U.S.C. chapter 51 or orders, 
regulations, or exemptions issued under the authority of that 
chapter applicable to the manufacture, fabrication, marking, 
maintenance, reconditioning, repair, or testing of a packaging or 
container that is represented, marked, certified, or sold as being 
qualified for use in the transportation or shipment of hazardous 
materials by commercial motor vehicle on highways are subject to a 
civil penalty of not less than $250 and not more than $50,000 for 
each violation.
    (4) Whenever regulations issued under the authority of 49 U.S.C. 
chapter 51 require compliance with the FMCSRs while transporting 
hazardous materials, any violations of the FMCSRs will be considered 
a violation of the HMRs and subject to a civil penalty of not less 
than $250 and not more than $50,000.
    (5) If any violation subject to the civil penalties set out in 
paragraphs (e)(1) through (4) of this appendix results in death, 
serious illness, or severe injury to any person or in substantial 
destruction of property, the civil penalty may be increased to not 
more than $100,000 for each offense.
    (f) Operating after being declared unfit by assignment of a 
final ``unsatisfactory'' safety rating. (1) A motor carrier 
operating a commercial motor vehicle in interstate commerce (except 
owners or operators of commercial motor vehicles designed or used to 
transport hazardous materials for which placarding of a motor 
vehicle is required under regulations prescribed under 49 U.S.C. 
chapter 51) is subject, after being placed out of service because of 
receiving a final ``unsatisfactory'' safety rating, to a civil 
penalty of not more than $11,000 (49 CFR 385.13). Each day the 
transportation continues in violation of a final ``unsatisfactory'' 
safety rating constitutes a separate offense.
    (2) A motor carrier operating a commercial motor vehicle 
designed or used to transport hazardous materials for which 
placarding of a motor vehicle is required under regulations 
prescribed under 49 U.S.C. chapter 51 is subject, after being placed 
out of service because of receiving a final ``unsatisfactory'' 
safety rating, to a civil penalty of not less than $250 and not more 
than $50,000 for each offense. If the violation results in death, 
serious illness, or severe injury to any person or in substantial 
destruction of property, the civil penalty may be increased to not 
more than $100,000 for each offense. Each day the transportation 
continues in violation of a final ``unsatisfactory'' safety rating 
constitutes a separate offense.
    (g) * * *

[[Page 36790]]

    (21) A person--
    (i) Who knowingly and willfully fails, in violation of a 
contract, to deliver to, or unload at, the destination of a shipment 
of household goods in interstate commerce for which charges have 
been estimated by the motor carrier transporting such goods, and for 
which the shipper has tendered a payment in accordance with part 
375, subpart G of this chapter, is liable for a civil penalty of not 
less than $10,000 for each violation. Each day of a continuing 
violation constitutes a separate offense.
    (ii) Who is a carrier or broker and is found to be subject to 
the civil penalties in paragraph (i) of this appendix may also have 
his or her carrier and/or broker registration suspended for not less 
than 12 months and not more than 36 months under 49 U.S.C. chapter 
139. Such suspension of a carrier or broker shall extend to and 
include any carrier or broker having the same ownership or 
operational control as the suspended carrier or broker.
    (h) Copying of records and access to equipment, lands, and 
buildings. A person subject to 49 U.S.C. chapter 51 or a motor 
carrier, broker, freight forwarder, or owner or operator of a 
commercial motor vehicle subject to part B of subtitle VI of title 
49 U.S.C. who fails to allow promptly, upon demand, the Federal 
Motor Carrier Safety Administration or an employee designated by the 
Federal Motor Carrier Safety Administration to inspect and copy any 
record or inspect and examine equipment, lands, buildings, and other 
property, in accordance with 49 U.S.C. 504(c), 5121(c), and 
14122(b), is subject to a civil penalty of not more than $1,000 for 
each offense. Each day of a continuing violation constitutes a 
separate offense, except that the total of all civil penalties 
against any violator for all offenses related to a single violation 
shall not exceed $10,000.

PART 390--FEDERAL MOTOR CARRIER SAFETY REGULATIONS; GENERAL

0
43. The authority citation for part 390 is revised to read as follows:

    Authority: 49 U.S.C. 508, 13301, 13902, 31133, 31136, 31502, 
31504; Sec. 204, Pub. L. 104-88, 109 Stat. 803, 941 (49 U.S.C. 701 
note); Sec. 114, Pub. L. 103-311, 108 Stat. 1673, 1677; Sec. 217, 
229, Pub. L. 106-159, 113 Stat. 1748, 1767; and 49 CFR 1.73.


0
44. Amend Sec.  390.3 to add paragraph (f)(7) to read as follows:


Sec.  390.3  General applicability.

* * * * *
    (f) * * *
    (7) Either a driver of a commercial motor vehicle used primarily in 
the transportation of propane winter heating fuel or a driver of a 
motor vehicle used to respond to a pipeline emergency, if such 
regulations would prevent the driver from responding to an emergency 
condition requiring immediate response as defined in Sec.  390.5.
0
45. Amend Sec.  390.5 to add, in correct alphabetical placement, a 
definition for ``Emergency condition requiring immediate response'' to 
read as follows:


Sec.  390.5  Definitions.

* * * * *
    Emergency condition requiring immediate response means any 
condition that, if left unattended, is reasonably likely to result in 
immediate serious bodily harm, death, or substantial damage to 
property. In the case of transportation of propane winter heating fuel, 
such conditions shall include (but are not limited to) the detection of 
gas odor, the activation of carbon monoxide alarms, the detection of 
carbon monoxide poisoning, and any real or suspected damage to a 
propane gas system following a severe storm or flooding. An ``emergency 
condition requiring immediate response'' does not include requests to 
refill empty gas tanks. In the case of a pipeline emergency, such 
conditions include (but are not limited to) indication of an abnormal 
pressure event, leak, release or rupture.
* * * * *

PART 395--HOURS OF SERVICE OF DRIVERS

0
46. The authority citation for part 395 is revised to read as follows:

    Authority: 49 U.S.C. 504, 14122, 31133, 31136, 31502; Sec. 229, 
Pub. L. 106-159, 113 Stat. 1748; Sec. 113, Pub. L. 103-311, 108 
Stat. 1673, 1676; and 49 CFR 1.73.


0
47. Amend Sec.  395.1 to revise paragraphs (a), (k)(2), and (n) and to 
add paragraphs (p) and (q), to read as follows:


Sec.  395.1  Scope of rules in this part.

    (a) General. (1) The rules in this part apply to all motor carriers 
and drivers, except as provided in paragraphs (b) through (q) of this 
section.
    (2) The exceptions from Federal requirements contained in 
paragraphs (l) and (m) of this section do not preempt State laws and 
regulations governing the safe operation of commercial motor vehicles.
* * * * *
    (k) * * *
    (2) Is conducted (except in the case of livestock feed 
transporters) during the planting and harvesting seasons within such 
State, as determined by the State.
* * * * *
    (n) Utility service vehicles. The provisions of this part shall not 
apply to a driver of a utility service vehicle as defined in Sec.  
395.2.
* * * * *
    (p) Commercial motor vehicle transportation to or from a motion 
picture production site. A driver of a commercial motor vehicle 
providing transportation of property or passengers to or from a 
theatrical or television motion picture production site is exempt from 
the requirements of Sec.  395.3(a) if the driver operates within a 100 
air-mile radius of the location where the driver reports to and is 
released from work, i.e., the normal work-reporting location. With 
respect to the maximum daily hours of service, such a driver may not 
drive--
    (1) More than 10 hours following 8 consecutive hours off duty;
    (2) For any period after having been on duty 15 hours following 8 
consecutive hours off duty.
    (3) If a driver of a commercial motor vehicle providing 
transportation of property or passengers to or from a theatrical or 
television motion picture production site operates beyond a 100 air-
mile radius of the normal work-reporting location, the driver is 
subject to Sec.  395.3(a), and paragraphs (p)(1) and (2) of this 
section do not apply.
    (q) Transporters of grapes during harvest period in the State of 
New York. The provisions of this part shall not apply to drivers 
transporting grapes if such transportation:
    (1) Is within the State of New York;
    (2) Is west of Interstate 81;
    (3) Is within a 150 air-mile radius of where the grapes were picked 
or distributed; and
    (4) Is during the harvest period as defined by the State of New 
York. This provision expires September 30, 2009.

0
48. Amend Sec.  395.2 to add, in correct alphabetical placement, the 
definitions for ``agricultural commodity'' and ``farm supplies for 
agricultural purposes'' to read as follows:


Sec.  395.2  Definitions.

* * * * *
    Agricultural commodity means any agricultural commodity, 
nonprocessed food, feed, fiber, or livestock (including livestock as 
defined in sec. 602 of the Emergency Livestock Feed Assistance Act of 
1988 [7 U.S.C. 1471] and insects).
* * * * *
    Farm supplies for agricultural purposes means products directly 
related to the growing or harvesting of agricultural commodities during 
the planting and harvesting seasons within each State, as determined by 
the State, and livestock feed at any time of the year.
* * * * *


[[Page 36791]]


    Issued on: June 11, 2007.
John H. Hill,
Administrator.
 [FR Doc. E7-11717 Filed 7-3-07; 8:45 am]
BILLING CODE 4910-EX-P