[Federal Register Volume 62, Number 136 (Wednesday, July 16, 1997)]
[Rules and Regulations]
[Pages 38034-38035]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-18697]
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DEPARTMENT OF TRANSPORTATION
Federal Highway Administration
49 CFR Part 369
[FHWA Docket No. MC-96-37 and No. FHWA-97-2286]
RIN 2125-AE02
Compensated Intercorporate Hauling
AGENCY: Federal Highway Administration (FHWA), DOT.
ACTION: Final rule.
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SUMMARY: The FHWA is removing the regulation delineating the scope and
notice filing requirements of the statutory exemption for compensated
intercorporate hauling. Section 103 of the ICC Termination Act of 1995
(ICCTA), Pub. L. 104-88, 109 Stat. 803, removed the requirement that a
notice be filed before initiation of exempt compensated intercorporate
hauling operations.
EFFECTIVE DATE: August 15, 1997.
FOR FURTHER INFORMATION CONTACT: Mr. Thomas T. Vining or Ms. Patricia
A. Burke, Office of Motor Carrier Information Analysis, HIA-30, (202)
358-7028, or Ms. Grace Reidy, Office of the Chief Counsel, (202) 366-
0834, Federal Highway Administration, 400 Seventh St., SW., Washington,
DC 20590. Office hours are from 7:45 a.m. to 4:15 p.m., e.t., Monday
through Friday, except Federal holidays.
SUPPLEMENTARY INFORMATION: On October 21, 1996, the FHWA published a
proposed rule and a request for comments in the Federal Register (61 FR
54711) on the regulation governing the filing of a notice prior to
initiation of operations under the statutory exemption for compensated
intercorporate hauling. The proposed rule would eliminate this
regulation.
The former Interstate Commerce Act contained an exemption from ICC
regulation at 49 U.S.C. 10524(b) for compensated transportation service
by a member of a corporate family, for other members of the same
family, if proper notice was given. To qualify for the exemption, the
participants were required to be members of a corporate family in which
the parent owned, either directly or indirectly, a 100 percent interest
in the subsidiaries. Corporate entities availing themselves of the
exemption were also required to file a notice, which was published in
the Federal Register, listing the participating subsidiaries and
certifying 100 percent ownership by the corporate parent.
The ICCTA reenacted the substantive exemption for compensated
intercorporate hauling, but removed the requirement for filing of a
notice of operations under the exemption, 49 U.S.C. 13505(b). Although
the ICCTA does not prohibit imposition of a notice requirement by the
FHWA, which has assumed responsibility for these regulations pursuant
to the ICCTA, the prior Federal Register notice questioned the
continuing need for a notice requirement or for any regulations on this
subject.
The public comment period for the proposed rule closed on December
20, 1996. The FHWA received one comment from the National Private Truck
Council (NPTC). This comment is available for review at the U.S. DOT
Dockets, Room PL-401, 400 Seventh Street, SW., Washington, DC 20590-
0001.
The NPTC supports elimination of the regulation and notice filing
requirement. The regulation at 49 CFR part 369 merely restates the
scope of the statutory compensated intercorporate hauling exemption and
provides the required form and content of the notice. The information
that otherwise would be contained in the notice can be easily checked
by the FHWA through other means if it ever appears that a corporation
is conducting operations which exceed the scope of the exemption.
Because the ICCTA essentially limits licensing requirements to
compliance with safety and insurance requirements, there also appears
to be no incentive for a corporation to use the exemption as a cover
for unregistered transportation operations. The corporation could
easily obtain operating authority for legitimate operations. Thus, the
regulation at 49 CFR part 369 no longer serves any meaningful
regulatory purpose, and it will be removed.
Executive Order 12866 (Regulatory Planning and Review and DOT
Regulatory Policies and Procedures)
The FHWA has determined that this action is not a significant
regulatory action within the meaning of Executive Order 12866 or
significant within the meaning of Department of Transportation
regulatory policies and procedures. The economic impact of this
rulemaking will be minimal; therefore, a full regulatory evaluation is
not required. The rulemaking merely eliminates a notice filing
requirement which applies to a small number of transportation entities.
Neither the individual nor cumulative impact of this action will be
significant.
Regulatory Flexibility Act
In compliance with the Regulatory Flexibility Act (Pub. L. 96-354,
5 U.S.C. 601-612), the FHWA has evaluated the effects of this rule on
small entities. Based on the evaluation, the FHWA hereby certifies that
this action will not have a significant economic impact on a
substantial number of small entities. The filing requirement currently
only involves the preparation of a relatively simple notice by less
than twenty transportation entities annually. Its elimination, while
beneficial, will not have a significant economic impact.
Executive Order 12612 (Federalism Assessment)
This action was analyzed in accordance with the principles and
criteria contained in Executive Order 12612, and it was determined that
this action does not have sufficient
[[Page 38035]]
federalism implications to warrant the preparation of a federalism
assessment.
Executive Order 12372 (Intergovernmental Review)
Catalog of Federal Domestic Assistance Program Number 20.217, Motor
Carrier Safety. The regulations implementing Executive Order 12372
regarding intergovernmental consultation on Federal programs and
activities do not apply to this program.
Paperwork Reduction Act
This action does not contain a collection of information
requirement for purposes of the Paperwork Reduction Act of 1995, 44
U.S.C. 3501 et seq. It eliminates the requirement that parties taking
advantage of the exemption at 49 U.S.C. 13505(b) prepare and file a
notice of their operations. This action is thus consistent with the
goals of the Paperwork Reduction Act.
National Environmental Policy Act
The agency has analyzed this action for the purpose of the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and has
determined that this action would not have any effect on the quality of
the environment.
Regulation Identification Number
A regulation identification number (RIN) is assigned to each
regulatory action listed in the Unified Agenda of Federal Regulations.
The Regulatory Information Service Center publishes the Unified Agenda
in April and October of each year. The RIN number contained in the
heading of this document can be used to cross reference this action
with the Unified Agenda.
List of Subjects in 49 CFR Part 369
Highways and roads.
In consideration of the foregoing and under the authority of
section 103 of the ICC Termination Act of 1995, Pub. L. 104-88, 109
Stat. 803, and 49 CFR 1.48, the FHWA amends title 49, CFR, Chapter III,
by removing part 369.
Issued on: July 7, 1997.
Jane F. Garvey,
Acting Administrator for the Federal Highway Administration
[FR Doc. 97-18697 Filed 7-15-97; 8:45 am]
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