96-12842. Petition for Modification of Exemption From the Vehicle Theft Prevention Standard; General Motors Corporation

[Federal Register Volume 61, Number 100 (Wednesday, May 22, 1996)]
[Notices]
[Pages 25734-25736]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-12842]



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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration


Petition for Modification of Exemption From the Vehicle Theft 
Prevention Standard; General Motors Corporation

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

ACTION: Grant of petition for modification of a previously approved 
antitheft device.

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SUMMARY: On April 9, 1991, this agency granted in part General Motors 
Corporation's (GM) petition for exemption from the parts-marking 
requirements of the vehicle theft prevention standard for the Buick 
Park Avenue car line. This notice grants in full GM's petition for 
modification of the previously approved antitheft device for that line. 
The agency grants this petition because it has determined, based on 
substantial evidence, that the modified antitheft device described in 
GM's petition to be placed on the car line as standard equipment is 
likely to be as effective in reducing and deterring motor vehicle theft 
as compliance with the parts-marking requirements.

DATES: The exemption granted by this notice is effective beginning with 
model year (MY) 1997.

FOR FURTHER INFORMATION CONTACT: Ms. Rosalind Proctor, Office of 
Planning and Consumer Programs, NHTSA, 400 Seventh Street, S.W., 
Washington, DC 20590. Ms. Proctor's telephone number is [phone]. 
Her fax number is [phone].

SUPPLEMENTARY INFORMATION: In April 1991, NHTSA published in the 
Federal Register a notice granting in part the petition from General 
Motors Corporation (GM) for an exemption from the parts-marking 
requirements of the Theft Prevention Standard (49 CFR Part 541) for the 
model year 1992 Buick Park Avenue car line. (See 56 FR 14413, April 9, 
1991). The agency determined that the PASS-Key antitheft device, which 
GM intended to install on the Buick Park Avenue car line as standard 
equipment, was likely to be as effective in reducing and deterring 
motor vehicle theft as would compliance with the parts-marking 
requirements of the Theft Prevention Standard. The agency decided based 
on the information available at that time that a full exemption was not 
appropriate and granted a partial exemption, which required that the 
engine and transmission on this line continue to be marked. The agency 
limited the exemption because the antitheft device lacked both an 
audible and a visual alarm to call attention to unauthorized entry of 
the vehicle. The lack of such a warning device made the agency 
uncertain whether the device would be as effective as parts marking in 
deterring theft of this vehicle.
    On February 16, 1996, GM submitted its petition for modification to 
its previously approved PASS-Key antitheft device. The petition also 
asked that the line be granted a full rather than partial exemption. 
GM's submittal is considered a complete petition, as required by 49 CFR 
Part 543.9(d), in that it meets the general requirements contained in 
Sec. 543.5 and the specific content requirements of Sec. 543.6. GM 
requested confidential treatment for some of the information and 
attachments submitted in support of its petition for modification. In a 
letter to GM dated March 1, 1996, the agency granted the petitioner's 
request for confidential treatment.
    In its petition for MY 1992, GM included a detailed description of 
the identity, design and location of the components of the PASS-Key 
antitheft device, including diagrams of components and their location 
in the vehicle. GM described the PASS-Key antitheft device installed as 
standard equipment as passively activated. The PASS-Key antitheft 
device utilizes an ignition key, an ignition lock cylinder and a 
decoder module.
    GM stated that for MY 1997, the PASS-Key III antitheft device will 
utilize more advanced technology than the PASS-Key or PASS-Key II 
devices. The PASS-Key III device will add new features and refinements 
to some of the previous PASS-Key/PASS-Key II components. As with the 
PASS-Key and PASS-Key II antitheft devices, the PASS-Key III device 
will remain fully functional once the ignition has been turned off and 
the key has been removed. No operator action will be required other 
than removing the key. The PASS-Key III will also use a special 
ignition key and decoder module. The conventional mechanical key 
unlocks and releases the steering wheel and transmission lever. 
However, before the vehicle can be operated, the key's electrical code 
must be sensed by the key cylinder and properly decoded by the decoder 
module.
    GM stated that the transponder, now embedded in the head of the key 
for the PASS-Key III device, is stimulated by a coil surrounding the 
key cylinder. The transponder in the key then emits a modulated signal 
at a specified radio frequency. The identity of the key is an integral 
and unique code within the

[[Page 25735]]

modulated signal. The PASS-Key III device has the potential for four 
trillion or more unique electrical key codes. The key cylinder coil 
receives and sends the modulated signal to the decoder. When the 
decoder module recognizes a valid key code, it sends an encoded message 
to the Powertrain Control Module (PCM) to enable fuel flow and starter 
operation. If an invalid key is detected, the PASS-Key III decoder 
module will transmit a different password to the PCM to disable fuel 
flow and starter operation.
    The PASS-Key II device was designed to shut down for three to four 
minutes if an invalid key was detected, preventing further attempts at 
starting the vehicle during that shutdown. However, GM believes that 
the time-consuming task of attempting to defeat the device having over 
four trillion key codes by a trial-and-error method eliminates the need 
for such an extensive shutdown period. Therefore, with the PASS-Key III 
device, a shut-down period occurs only if someone is attempting to 
program a new electronically coded key. Shut-down occurs for ten 
seconds with a valid key and thirty minutes with a non-valid key. As an 
additional security measure, GM will provide the MY 1997 Buick Park 
Avenue owner/operator with a ``valet'' version of the PASS-Key III 
ignition key that will be modified to prevent the ten- second code-
duplication possible with the normal ignition key.
    The PASS-Key III decoder module and antenna will be located in the 
steering column for MY 1997. GM stated that the device cannot be 
defeated by removing and then subsequently reapplying vehicle power. 
Additionally, GM stated that replacement of the decoder module will not 
defeat the device because of its decoder module password.
    Upon starting the vehicle, the ignition switch will enable power to 
the PASS-Key III device causing the decoder module to illuminate a 
``security'' light on the instrument cluster. GM states that this 
``bulb check'' sequence will last for five seconds and then the light 
will return to the normal state (``off'') for a valid key. Any attempts 
to start the vehicle with an electronically invalid key will cause the 
``security'' light to turn on. Should an error arise during normal 
operation, the ``security'' light is enabled, signaling to the operator 
that a fault has been detected in the PASS-Key III device. According to 
GM, the vehicle will continue to operate despite the fault, however, 
vehicle security may be compromised.
    GM stated that the PASS-Key III device has been designed to enhance 
the functionality and theft protection of the first and second-
generation PASS-Key and PASS-Key II devices. However, as in the first 
and second-generation PASS-Key devices, the PASS-Key III device does 
not provide an alarm, either audible or visual to attract the attention 
to the efforts of an unauthorized person to enter or move the vehicle 
by means other than a key (49 CFR Sec. 543.6(a)(3)(ii).) To 
substantiate its belief that an alarm system is not a necessary feature 
to effectively deter the theft of a vehicle, GM compared the reduction 
in thefts for Corvettes equipped with a passive antitheft device with 
an audible/visible alarm feature (24% reduction), and the Chevrolet 
Camaro and Pontiac Firebird car lines equipped with a passive antitheft 
device without an alarm feature (66% and 69% reduction).
    The following GM car lines have the ``PASS-Key'' device as standard 
equipment and have been exempted in part from the requirements of 49 
CFR Part 541: the Chevrolet Camaro and Pontiac Firebird, beginning with 
MY 1990 (See 54 FR 3365, August 15, 1989); the Cadillac DeVille/
Fleetwood and Oldsmobile 98, beginning with MY 1991 (See 55 FR 17854, 
April 27, 1990); and the Pontiac Bonneville and Buick Park Avenue, 
beginning with MY 1992 (See 56 FR 14413, April 9, 1991). NHTSA has also 
granted exemptions in part for the following GM car lines that have 
PASS-Key II as standard equipment: the Oldsmobile 88 Royale and Buick 
LeSabre, beginning with MY 1993 (See 57 FR 10517, March 26, 1992) and 
the Cadillac Eldorado and Cadillac Seville, beginning with MY 1994 (see 
58 FR 11659, February 26, 1993).
    The agency had granted partial, rather than full exemptions for the 
car lines listed above because neither the PASS-Key nor PASS-Key II 
antitheft devices included an audible or visual alarm system. As such, 
the GM systems lack, as standard equipment, an important feature that 
the agency has defined in its rulemaking on Part 543 as one of several 
attributes which contribute to the effectiveness of an antitheft 
device: automatic activation of the device; an audible or visual signal 
that is connected to the hood, doors, and trunk, and draws attention to 
vehicle tampering; and a disabling mechanism designed to prevent a 
thief from moving a vehicle under its own power without a key.
    Since deciding those petitions, however, the agency has become 
aware that theft data show declining theft rates for GM vehicles 
equipped with either version of the PASS-Key device. A comparison of 
theft data for car lines incorporating the PASS-Key and PASS-Key II 
devices does not show that the lack of an audible or visual alarm 
system detracts from the effectiveness of the PASS-Key and PASS-Key II 
devices. The agency believes that the data show that over time, despite 
the absence of an audible or visual alarm system, the PASS-Key and 
PASS-Key II devices, when placed on car lines as standard equipment, 
are as likely to be as effective in deterring and reducing motor 
vehicle theft as compliance with the parts-marking requirements.
    Based on this information, the agency has granted two GM petitions 
for full exemptions for car lines equipped with the PASS-Key II 
antitheft device. Those lines are the Chevrolet Lumina and Buick Regal 
car lines (See 60 FR 25938, May 15, 1995) and the Buick Riviera and 
Oldsmobile Aurora car lines (See 58 FR 44872, August 25, 1993). In both 
of those instances, the agency concluded that a full exemption was 
warranted because the PASS-Key II device had shown itself to be as 
likely as parts marking to be effective protection against theft 
despite the absence of a visual or audible alarm. Because the PASS-Key 
III device to be used in the Buick Park Avenue beginning in MY 1997 is 
an improved version of these systems, the agency concludes that a full 
exemption is appropriate for this car line as well.
    To ensure reliability and durability of the device, GM stated that 
it conducted tests based on its own specified standards. GM provided 
the test results for the PASS-Key III device showing that the device 
complied with the specified performance requirements of each test. GM 
stated that the PASS-Key III device complied with it standards for 
power temperature cycling, high and low temperature storage, humidity, 
salt fog, drop, dust, thermal shock, frost, altitude, shock, random 
vibration and potential contaminants.
    To substantiate its beliefs as to the effectiveness of the PASS-Key 
III antitheft device, GM compared its MY 1997 antitheft modification to 
similar devices that have previously been granted exemptions by the 
agency. GM provided data on the Chevrolet Camaro, Pontiac Firebird, 
Cadillac DeVille/Fleetwood, Cadillac Seville and Cadillac Eldorado car 
line theft rates for MYs 1986 through 1991. PASS-Key was made standard 
on the Camaro, Firebird, Seville and Eldorado beginning with MY 1989 
and on the DeVille/ Fleetwood beginning with MY 1990. The data provided 
by GM were reported by the Federal Bureau of Investigation's National 
Crime Information Center (NCIC), which is NHTSA's official source of 
theft data (See 50 FR 46666,

[[Page 25736]]

November 12, 1985). The NCIC receives reports on all thefts.
    The NCIC data reported by GM showed that the Camaro, Firebird, 
DeVille/Fleetwood, Seville and Eldorado theft rates (per thousand 
vehicles) by Model Year were: For MY 1986, 29.49 for the Camaro, 27.83 
for the Firebird, 7.11 for the DeVille/Fleetwood, 1.71 for the Seville 
and 2.27 for the Eldorado; for MY 1987, 26.03 for the Camaro, 30.14 for 
the Firebird, 6.16 for the DeVille/Fleetwood, 9.24 for the Seville and 
3.90 for the Eldorado; for MY 1988, 25.74 for the Camaro, 29.39 for the 
Firebird, 7.91 for the DeVille/Fleetwood, 9.54 for the Seville and 3.16 
for the Eldorado; for MY 1989, 8.69 for the Camaro, 9.00 for the 
Firebird, 5.57 for the DeVille/Fleetwood, 8.31 for the Seville and 2.35 
for the Eldorado; for MY 1990, 9.04 for the Camaro, 8.04 for the 
Firebird, 3.85 for the DeVille/Fleetwood, 9.43 for the Seville and 2.44 
for the Eldorado; for MY 1991, 7.80 for the Camaro, 6.37 for the 
Firebird, 4.06 for the DeVille/Fleetwood, 7.95 for the Seville and 2.83 
for the Eldorado.
    GM believes that based on the reduced theft rates of its PASS-Key 
and PASS-Key II equipped car lines and the proven theft-deterrence 
success of transponder electronics security, the PASS-Key III device to 
be introduced on the MY 1997 Buick Park Avenue is likely to be more 
effective in reducing and deterring motor vehicle theft than compliance 
with the parts marking requirements of 49 CFR Part 541.
    The agency believes that there is substantial evidence indicating 
that the modified antitheft device to be installed as standard 
equipment on the MY 1997 Buick Park Avenue car line will likely be as 
effective in reducing and deterring motor vehicle theft as compliance 
with the requirements of the Theft Prevention Standard (49 CFR Part 
541). This determination is based on the information that GM submitted 
with its petition and on other available information. The agency 
believes that the modified device will continue to provide the types of 
performance listed in Section 543.6(a)(3): promoting activation; 
attracting attention to unauthorized entries; preventing defeat or 
circumventing of the device by unauthorized persons; preventing 
operation of the vehicle by unauthorized entrants; and ensuring the 
reliability and durability of the device.
    As required by 49 CFR Section 543.6(a)(4), the agency also finds 
that GM has provided adequate reasons for its belief that the modified 
antitheft device will reduce and deter theft. This conclusion is based 
on the information GM provided on its PASS-Key III device. This 
information included a description of reliability and functional tests 
conducted by GM for the PASS-Key III antitheft device and its 
components.
    For the foregoing reasons, the agency hereby exempts the Buick Park 
Avenue car line, which is the subject of this notice, in whole, from 
the requirements of 49 CFR Part 541.
    Section 543.9(h)(2)(i), specifically reads, ``* * * an exemption 
under this section takes effect on the first day of the model year 
following the model year in which NHTSA issued the modification 
decision.'' Therefore, since the agency is issuing its decision on the 
General Motors Corporation modification during model year 1996, the 
modification for the Buick Park Avenue car line becomes effective 
beginning with Model Year 1997.
    If, in the future, GM decides not to use the exemption for the car 
line that is the subject of this notice, it should formally notify the 
agency. If such a decision is made, the car line must be fully marked 
according to the requirements under 49 CFR Section 541.5 and Section 
541.6 (marking of major component parts and replacement parts).
    NHTSA notes that if GM wishes in the future to modify the device on 
which this exemption is based, it 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, Section 543.9(c)(2) provides for the submission of 
petitions ``(t)o 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 which 
section 543.9(c)(2) could place on exempted vehicle manufacturers and 
itself. The agency did not intend in drafting Part 543 to require the 
submission of a modification petition for every change to the 
components or design of an antitheft device. The significance of many 
such changes could be de 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.

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

    Issued on: May 17, 1996.
Barry Felrice,
Associate Administrator for Safety Performance Standards.
[FR Doc. 96-12842 Filed 5-21-96; 8:45 am]
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