[Federal Register Volume 73, Number 221 (Friday, November 14, 2008)]
[Rules and Regulations]
[Pages 67385-67387]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-26974]


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CONSUMER PRODUCT SAFETY COMMISSION

16 CFR Part 1420


Final Rule: Standard for All Terrain Vehicles

AGENCY: Consumer Product Safety Commission.

ACTION: Final rule.

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SUMMARY: The recently-enacted Consumer Product Safety Improvement Act 
of 2008 (``CPSIA''), sets forth several requirements for all terrain 
vehicles (``ATVs''). Among these, the CPSIA requires the United States 
Consumer Product Safety Commission (``Commission'' or ``CPSC'') to 
publish in the Federal Register as a mandatory consumer product safety 
standard the American National Standard for Four Wheel All-Terrain 
Vehicles Equipment Configuration, and Performance Requirements 
developed by the Specialty Vehicle Institute of America (American 
National Standard ANSI/SVIA 1-2007). This document satisfies that 
requirement and reviews other provisions of the CPSIA that apply to 
ATVs.

DATES: The rule takes effect April 13, 2009. The incorporation by 
reference of the publication listed in this rule is approved by the 
Director of the Federal Register as of April 13, 2009.

FOR FURTHER INFORMATION CONTACT: Tanya Topka, Office of Compliance and 
Field Operations, Consumer Product Safety Commission, 4330 East West 
Highway, Bethesda, MD 20814; telephone (301) 504-7594.

SUPPLEMENTARY INFORMATION:

A. Background

    The Consumer Product Safety Improvement Act of 2008 (``CPSIA'') was 
enacted on August 14, 2008. Public Law 110-314, 122 Stat. 3016 (August 
14, 2008). The CPSIA amends statutes which the U.S. Consumer Product 
Safety Commission (``Commission'' or ``CPSC'') administers, adding 
requirements with broad applicability and some product-specific 
provisions as well. Section 232 of the CPSIA adds a new section 42 to 
the Consumer Product Safety Act (``CPSA'') that sets forth numerous 
requirements for all terrain vehicles (``ATVs''). 15 U.S.C. 42, as 
added by CPSIA Sec.  232.
    The Commission has been involved with ATVs since the 1980s. In 
1987, the Commission filed a lawsuit to declare ATVs an imminently 
hazardous consumer product under section 12 of the CPSA against the 
five companies that were the major distributors of ATVs in the U.S. at 
that time. The section 12 lawsuit was settled by Consent Decrees that 
were filed on April 28, 1988 and remained in effect for ten years. The 
Consent Decrees contained provisions concerning restrictions on the 
distribution of three-wheel ATVs; development of a voluntary 
performance standard; requirements for ATV warning labels, owner's 
manuals, point of purchase safety materials, free rider training, and 
media and advertising materials. The parties also agreed to promote and 
sell adult-size ATVs (defined in the Consent Decrees as ATVs with 
engines greater than 90 cc) only for the use of riders 16 years of age 
and older.
    In accordance with the Consent Decrees, the main distributors, 
working through the Specialty Vehicle Institute of America (``SVIA''), 
continued work on a voluntary standard for ATVs. The standard, known as 
ANSI/SVIA, The American National Standard for Four Wheel All-Terrain 
Vehicles Equipment Configuration, and Performance Requirements, was 
first published in 1990, was revised in 2001 and again in 2007.
    While the Consent Decrees were in effect, the companies entered 
into monitoring agreements with the CPSC agreeing to monitor their 
dealers' compliance with the Consent Decrees' requirements, 
particularly the age restrictions.
    After the Consent Decrees expired, the distributors who had been 
parties to the Consent Decrees (and three companies that had entered 
the market later) developed action plans, also known as letters of 
undertaking, in which the companies agreed to undertake

[[Page 67386]]

voluntary actions to continue many of the actions that were required 
under the Consent Decrees and to continue monitoring their dealers. See 
63 FR 48199 (1998).

B. CPSIA Requirements for ATVs

1. Mandating the Voluntary Standard

    Section 232 of the CPSIA (now section 42 of the CPSA) states that 
within 90 days of enactment of the CPSIA ``the Commission shall publish 
in the Federal Register as a mandatory consumer product safety standard 
the American National Standard for Four Wheel All-Terrain Vehicles 
Equipment Configuration, and Performance Requirements developed by the 
Specialty Vehicle Institute of America (American National Standard 
ANSI/SVIA 1-2007).'' 15 U.S.C. 42(a)(1) as added by CPSIA Sec.  232.
    The ANSI/SVIA standard specifies requirements concerning the 
vehicle's equipment and configuration (including requirements for 
owner's/operator's manuals, labels and hang tags), maximum speed 
capability, speed capability of youth ATVs, service and parking brakes, 
pitch stability, electromagnetic compatibility, and sound level limits. 
It also requires that ATVs have a certification label indicating that 
they comply with the ANSI/SVIA standard.
    The CPSIA requires the Commission to publish the ANSI/SVIA standard 
in the Federal Register. The Commission is fulfilling this direction by 
incorporating the ANSI/SVIA standard by reference. Congress mandated 
that the ANSI/SVIA standard will go into effect as a consumer product 
safety standard 150 days after it is published in the Federal Register. 
The Freedom of Information Act states that a standard that is 
incorporated by reference in the Federal Register and made reasonably 
available is deemed to be published in the Federal Register. 5 U.S.C. 
552(a)(1)(E). Because Congress mandated the standard without any 
changes, we believe that it is appropriate to incorporate the standard 
by reference.
    The standard takes effect as a consumer product safety standard 150 
days after this publication in the Federal Register. See 15 U.S.C. 
2058(g)(1). This means that ATVs manufactured on or after the effective 
date must comply with the standard. They also must meet additional 
requirements related to action plans. See 15 U.S.C. 42(a)(2) and 
(e)(2), as added by CPSIA Sec.  232. The statute provides: ``After the 
standard takes effect, it shall be unlawful for any manufacturer or 
distributor to import into or distribute in commerce in the United 
States any new assembled or unassembled all-terrain vehicle unless'' 
the ATV complies with the newly-mandated standard, the ATV is subject 
to an ATV action plan filed with and (unless the action plan was filed 
with the Commission before August 14, 2008) approved by the Commission, 
and the manufacturer or distributor is in compliance with the action 
plan. (CPSA Sec.  42(a)(2) as added by CPSIA Sec.  232). Failure to 
comply with these requirements is deemed to be a failure to comply with 
a consumer product safety standard and subjects the violator to the 
penalties and remedies applicable under the CPSA. Id. Sec.  42(a)(3).

2. Action Plans

    The statute requires ATV manufacturers and distributors to file 
with the Commission an ATV action plan. Unless the ATV action plan was 
filed with the Commission before August 14, 2008 the action plan must 
be approved by the Commission. The manufacturer or distributor must be 
in compliance with the action plan. CPSA Sec.  42(a)(2), as added by 
CPSIA Sec.  232.
    The statute defines ``ATV action plan'' as a plan or letter of 
undertaking describing safety-related actions the manufacturer or 
distributor agrees to take concerning ATVs. The plan must be 
``substantially similar'' to the action plans distributors entered into 
in 1998. CPSA Sec.  42(e)(2), as added by CPSIA Sec.  232.

3. Three-Wheel ATVs

    The CPSIA also addresses 3-wheel ATVs. It provides that until the 
Commission issues a consumer product safety standard applicable to 3-
wheel ATVs (and the standard goes into effect) ``new 3-wheeled all 
terrain vehicles may not be imported into or distributed in commerce in 
the United States.'' CPSA Sec.  42(c), as added by CPSIA Sec.  232. 
Violation of this restriction is a prohibited act under section 
19(a)(1) of the CPSA.

4. Future Actions

    The CPSIA provides procedures for modifying the standard in the 
future either if SVIA revises the underlying voluntary standard or if 
the Commission determines on its own to amend the standard.
    The CPSIA also requires the Commission to issue a final rule in its 
open rulemaking concerning ATVs. (The Commission issued a notice of 
proposed rulemaking related to ATVs on August 10, 2006. See 73 FR 
54564.) The CPSIA directs the Commission to consult with the National 
Highway Traffic Safety Administration (``NHTSA'') and consider whether 
to establish a multiple factor method of categorizing youth ATVs. Also 
in consultation with NHTSA, the Commission must review the mandated 
ANSI/SVIA standard and ``establish additional safety standards for all-
terrain vehicles to the extent necessary to protect the public health 
and safety.'' The statute specifies certain provisions that the 
Commission is to consider adding or strengthening. CPSA Sec.  42(d), as 
added by CPSIA Sec.  232(a).
    The CPSIA also requires the U.S. Government Accountability Office 
(``GAO'') to conduct a study of ATVs' utility, recreational and other 
benefits and the costs associated with ATV-related accidents and 
injuries. CPSIA Sec.  232(b).

List of Subjects in 16 CFR Part 1420

    Consumer protection, Imports, Incorporation by reference, 
Information, Infants and children, Labeling, Law enforcement, 
Recreation and recreation areas, Reporting and recordkeeping 
requirements, Safety.

    For the reasons stated in the preamble, the Commission amends Title 
16 of the Code of Federal Regulations by adding a new part 1420 to read 
as follows:

PART 1420--REQUIREMENTS FOR ALL TERRAIN VEHICLES

Sec.
1420.1 Scope, application and effective date.
1420.2 Definitions.
1420.3 Requirements for four-wheel ATVs.
1420.4 Restrictions on three-wheel ATVs.

    Authority: The Consumer Product Safety Improvement Act of 2008, 
Pub. Law 110-314, Sec.  232, 122 Stat. 3016 (August 14, 2008).


Sec.  1420.1   Scope, application and effective date.

    This part 1420, a consumer product safety standard, prescribes 
requirements for all terrain vehicles. The requirements for four-wheel 
ATVs in Sec.  1420.3 take effect on April 13, 2009, and apply to new 
assembled or unassembled ATVs manufactured or imported on or after that 
date. The restrictions on three-wheel ATVs stated in Sec.  1420.4 take 
effect September 13, 2008.


Sec.  1420.2   Definitions.

    In addition to the definitions in section 3 of the Consumer Product 
Safety Act (15 U.S.C. 2052), the following definitions apply for 
purposes of this Part 1420.
    (a) All terrain vehicle or ATV means:

[[Page 67387]]

    (1) Any motorized, off-highway vehicle designed to travel on 3 or 4 
wheels, having a seat designed to be straddled by the operator and 
handlebars for steering control; but
    (2) Does not include a prototype of a motorized, off-highway, all-
terrain vehicle that is intended exclusively for research and 
development purposes unless the vehicle is offered for sale.
    (b) ATV action plan means a written plan or letter of undertaking 
that describes actions the manufacturer or distributor agrees to take 
to promote ATV safety, including rider training, dissemination of 
safety information, age recommendations, other policies governing 
marketing and sale of the ATVs, the monitoring of such sales, and other 
safety related measures, and that is substantially similar to the plans 
described under the heading ``The Undertakings of the Companies'' in 
the Commission Notice published in the Federal Register on September 9, 
1998 (63 FR 48199-48204).


Sec.  1420.3   Requirements for four-wheel ATVs.

    (a) Each ATV shall comply with all applicable provisions of the 
American National Standard for Four Wheel All-Terrain Vehicles 
(American National Standards Institute, Inc. ANSI/SVIA 1-2007), 
approved July 23, 2007. The Director of the Federal Register approves 
this incorporation by reference in accordance with 5 U.S.C. 552(a) and 
1 CFR part 51. You may obtain a copy from Specialty Vehicle Institute 
of America, 2 Jenner, Suite 150, Irvine, California 92618-3806; 
telephone 949-727-3727 ext. 3023; http://www.svia.org. You may inspect 
a copy at the Office of the Secretary, U.S. Consumer Product Safety 
Commission, Room 502, 4330 East West Highway, Bethesda, MD. 20814, 
telephone 301-504-7923, or at the National Archives and Records 
Administration (NARA). For information on the availability of this 
material at NARA, call 202-741-6030, or go to: http://www.archives.gov/federal_register/code_of_federal_regulations/ibr_locations.html.
    (b) Each ATV must be subject to an ATV action plan filed with the 
Commission before August 14, 2008 or subsequently filed with and 
approved by the Commission, and shall bear a label certifying such 
compliance and identifying the manufacturer, importer or private 
labeler and the ATV action plan to which it is subject.
    (c) The ATV manufacturer or distributor shall be in compliance with 
all provisions of the applicable ATV action plan.


Sec.  1420.4   Restrictions on three-wheel ATVs.

    Until a mandatory consumer product safety standard applicable to 
three-wheel ATVs promulgated pursuant to the Consumer Product Safety 
Act is in effect, new three wheel ATVs may not be imported into or 
distributed in commerce in the United States.

    Dated: November 7, 2008.
Todd Stevenson,
Secretary, U.S. Consumer Product Safety Commission.
 [FR Doc. E8-26974 Filed 11-13-08; 8:45 am]
BILLING CODE 6355-01-P