[Federal Register Volume 81, Number 81 (Wednesday, April 27, 2016)]
[Notices]
[Pages 24937-24939]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-09767]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration


Petition for Exemption from the Federal Motor Vehicle Theft 
Prevention Standard; BMW OF NORTH AMERICA, LLC

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

ACTION: Grant of petition for exemption.

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SUMMARY: This document grants in full the BMW of North America, LLC's 
(BMW) petition for an exemption of the MINI Countryman multi-purpose 
passenger vehicle (MPV) line in accordance with 49 CFR part 543, 
Exemption from the Theft Prevention Standard. This petition is granted 
because the agency has determined that the antitheft device to be 
placed on the line as standard equipment is likely to be as effective 
in reducing and deterring motor vehicle theft as compliance with the 
parts-marking requirements of 49 CFR part 541, Federal Motor Vehicle 
Theft Prevention Standard (Theft Prevention Standard). BMW requested 
confidential treatment for specific information in its petition that 
the agency will address by separate letter.

DATES: The exemption granted by this notice is effective beginning with 
the 2017 model year (MY).

FOR FURTHER INFORMATION CONTACT: Ms. Carlita Ballard, Office of 
International

[[Page 24938]]

Policy, Fuel Economy and Consumer Programs, National Highway Traffic 
Safety Administration, 1200 New Jersey Avenue SE., West Building, Room 
W43-439, Washington, DC 20590. Ms. Ballard's telephone number is (202) 
366-5222. Her fax number is (202) 493-2990.

SUPPLEMENTARY INFORMATION: In a petition dated March 25, 2016, BMW 
requested an exemption from the parts-marking requirements of the Theft 
Prevention Standard for the MINI Countryman MPV line beginning with MY 
2017. The petition requested an exemption from parts-marking pursuant 
to 49 CFR part 543, Exemption from Vehicle Theft Prevention Standard, 
based on the installation of an antitheft device as standard equipment 
for the entire vehicle line.
    Under 49 CFR part 543.5(a), a manufacturer may petition NHTSA to 
grant an exemption for one vehicle line per model year. In its 
petition, BMW provided a detailed description and diagram of the 
identity, design, and location of the components of the antitheft 
device for its MINI Countryman MPV line. Key features of the antitheft 
device will include a key with a transponder, loop antenna (coil), 
engine control unit (DME/DDE) with encoded start release input, an 
electronically coded vehicle immobilizer/car access system (EWS/CAS) 
control unit and a passive immobilizer. BMW stated that its MINI 
Countryman MPV line will be installed with a passive vehicle 
immobilizer device as standard equipment. BMW stated that the EWS 
immobilizer device prevents the vehicle from being driven away under 
its own engine power and also fulfills the requirements of European 
vehicle insurance companies. BMW will not offer an audible or visible 
alarm feature on the proposed device.
    BMW's submission is considered a complete petition as required by 
49 CFR 543.7, in that it meets the general requirements contained in 
Sec.  543.5 and the specific content requirements of Sec.  543.6.
    In addressing the specific content requirements of Part 543.6, BMW 
provided information on the reliability and durability of its device. 
To ensure reliability and durability of the device, BMW conducted tests 
and believes that the device is reliable and durable because it 
complied with its own specific standards and is installed on other 
vehicle lines for which the agency has granted a parts-marking 
exemption. Further assuring the reliability and durability of the MINI 
Countryman's antitheft device, BMW stated that the vehicle's mechanical 
keys are unique because they require a special key blank, cutting 
machine and a unique vehicle code to allow for key duplication. BMW 
further stated that the new keys will only be issued to authorized 
persons and will incorporate special guide-way millings, making the 
locks almost impossible to pick and the keys impossible to duplicate on 
the open market.
    BMW stated that activation of its immobilizer device occurs 
automatically when the engine is shut off and the vehicle key is 
removed from the ignition lock cylinder. Deactivation of the device 
occurs when the Start/Stop button is pressed and the vehicle starting 
process begins. BMW stated that deactivation cannot be carried out with 
a mechanical key, but must occur electronically. Specifically, BMW 
stated that its transponder sends key data to the EWS/CAS control unit. 
The correct key data must be recognized by the EWS/CAS control unit in 
order for the vehicle to start. The transponder contains a chip which 
is integrated in the key and powered by a battery. The transponder also 
consists of a transmitter/receiver which communicates with the EWS/CAS 
control unit. The EWS/CAS control unit provides the interface to the 
loop antenna (coil), engine control unit and starter. The ignition and 
fuel supply are only released when a correct coded release signal has 
been sent by the EWS/CAS control unit to deactivate the device and 
allow the vehicle to start. When the EWS/CAS control unit has sent a 
correct release signal, and after the initial starting value, the 
release signal becomes a rolling, ever-changing, random code that is 
stored in the DME/DDE and EWS/CAS control units. The DME/DDE must 
identify the correct release signal to release the ignition signal and 
fuel supply.
    BMW stated that the vehicle is also equipped with a central-locking 
system that can be operated to lock and unlock all doors or to unlock 
only the driver's door, thereby preventing forced entry into the 
vehicle through the passenger doors. The vehicle can be further secured 
by locking the doors and hood using either the key lock cylinder on the 
driver's door or the remote frequency remote control. BMW stated that 
the frequency for the remote control constantly changes to prevent an 
unauthorized person from opening the vehicle by intercepting the 
signals of its remote control.
    BMW further stated that all of its vehicles are currently equipped 
with antitheft devices as standard equipment, including its MINI 
Countryman MPV line. BMW compared the effectiveness of its antitheft 
device with devices which NHTSA has previously determined to be as 
effective in reducing and deterring motor vehicle theft as would 
compliance with the parts-marking requirements of Part 541. 
Specifically, BMW has installed its antitheft device on its X1 (MPV and 
passenger cars), X3, X4 and X5 vehicle lines, as well as its Carline 1, 
3, 4, 5, 6, 7, Z4, and MINI vehicle lines, all which have been granted 
parts-marking exemptions by the agency. BMW asserts that theft data 
have indicated a decline in theft rates for vehicle lines that have 
been equipped with antitheft devices similar to that which it proposes 
to install on the MINI Countryman MPV line. BMW also stated that for 
MY/CY 2011, the agency's data show that theft rates for its lines are: 
0.34 (1-series), 0.69 (3-series), 1.26 (5-series), 2.47 (6-series) 1.66 
(7-series), 0.24 (X1), 0.68 (X3), 2.02 (Z4), and 0.32 (MINI Cooper). 
Using an average of 3 MYs data (2011-2013), NHTSA's theft rates for 
BMW's 1 series, 3 series, 5 series, 6 series, 7 series, X1, X3, Z4 and 
MINI Cooper vehicle lines are 0.4954, 0.6581, 0.9935, 2.8054, 1.4711, 
0.2356, 0.4961, 1.2843 and 0.3385 respectively, all below the median 
theft rate of 3.5826.
    Based on the supporting evidence submitted by BMW, the agency 
believes that the antitheft device for the BMW MINI Countryman MPV line 
is likely to be as effective in reducing and deterring motor vehicle 
theft as compliance with the parts-marking requirements of the Theft 
Prevention Standard (49 CFR part 541). The agency concludes that the 
device will provide four of the five types of performance listed in 
Sec.  543.6(a)(3): Promoting activation; preventing defeat or 
circumvention of the device by unauthorized persons; preventing 
operation of the vehicle by unauthorized entrants; and ensuring the 
reliability and durability of the device.
    Pursuant to 49 U.S.C. 33106 and 49 CFR 543.7(b), the agency grants 
a petition for exemption from the parts-marking requirements of Part 
541, either in whole or in part, if it determines that, based upon 
supporting evidence, the standard equipment antitheft device is likely 
to be as effective in reducing and deterring motor vehicle theft as 
compliance with the parts-marking requirements of Part 541. The agency 
finds that BMW has provided adequate reasons for its belief that the 
antitheft device for the MINI Countryman MPV line is likely to be as 
effective in reducing and deterring motor vehicle theft as compliance 
with the parts-marking requirements of the Theft Prevention Standard 
(49 CFR part 541).

[[Page 24939]]

This conclusion is based on the information BMW provided about its 
device.
    For the foregoing reasons, the agency hereby grants in full BMW's 
petition for exemption for the MY 2017 MINI Countryman MPV line from 
the parts-marking requirements of 49 CFR part 541. The agency notes 
that 49 CFR part 541, Appendix A-1, identifies those lines that are 
exempted from the Theft Prevention Standard for a given MY. 49 CFR part 
543.7(f) contains publication requirements incident to the disposition 
of all Part 543 petitions. Advanced listing, including the release of 
future product nameplates, the beginning model year for which the 
petition is granted and a general description of the antitheft device 
is necessary in order to notify law enforcement agencies of new vehicle 
lines exempted from the parts-marking requirements of the Theft 
Prevention Standard.
    If BMW decides not to use the exemption for this line, it must 
formally notify the agency. If such a decision is made, the line must 
be fully marked as required by 49 CFR parts 541.5 and 541.6 (marking of 
major component parts and replacement parts).
    NHTSA notes that if BMW wishes in the future to modify the device 
on which this exemption is based, the company may have to submit a 
petition to modify the exemption. Part 543.7(d) states that a Part 543 
exemption applies only to vehicles that belong to a line exempted under 
this part and equipped with the antitheft device on which the line's 
exemption is based. Further, Sec.  543.9(c)(2) provides for the 
submission of petitions ``to modify an exemption to permit the use of 
an antitheft device similar to but differing from the one specified in 
that exemption.''
    The agency wishes to minimize the administrative burden that Part 
543.9(c)(2) could place on exempted vehicle manufacturers and itself. 
The agency did not intend Part 543 to require the submission of a 
modification petition for every change to the components or design of 
an antitheft device. The significance of many such changes could be de 
minimis. Therefore, NHTSA suggests that if the manufacturer 
contemplates making any changes the effects of which might be 
characterized as de minimis, it should consult the agency before 
preparing and submitting a petition to modify.

    Issued in Washington, DC, on April 18, 2016 under authority 
delegated in 49 CFR part 1.95
Raymond R. Posten,
Associate Administrator for Rulemaking.
[FR Doc. 2016-09767 Filed 4-26-16; 8:45 am]
BILLING CODE 4910-59-P