Fees for the Unified Carrier Registration Plan and Agreement

Fees for the Unified Carrier Registration Plan and Agreement

Fees for the Unified Carrier Registration Plan and Agreement

Raymond P. Martinez
Federal Motor Carrier Safety Administration
28 December 2018

[Federal Register Volume 83, Number 248 (Friday, December 28, 2018)]
[Rules and Regulations]
[Pages 67124-67131]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-28170]

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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

49 CFR Part 367

[Docket No. FMCSA-2018-0068]
RIN 2126-AC12

Fees for the Unified Carrier Registration Plan and Agreement

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

ACTION: Final rule.

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SUMMARY: This rule establishes reductions in the annual registration
fees collected from motor carriers, motor private carriers of property,
brokers, freight forwarders, and leasing companies for the Unified
Carrier Registration (UCR) Plan and Agreement for the registration
years 2019, 2020 and thereafter. For the 2019 registration year, the
fees will be reduced below the 2017 registration fee level that was in
effect by 18.62 percent to ensure that fee revenues collected do not
exceed the statutory maximum, and to account for the excess funds held
in the depository. The fees beginning with the 2020 registration year
will be reduced below the 2017 level by approximately 9.9 percent. The
reduction of the current 2019 registration year fees (finalized on
January 5, 2018) range from approximately $11 to $10,282 per entity,
depending on the number of vehicles owned or operated by the affected
entities. The reduction in fees for 2020 and subsequent registration
years range from approximately $5 to $3,899 per entity.

DATES: This final rule is effective December 28, 2018.

FOR FURTHER INFORMATION CONTACT: Mr. Gerald Folsom, Office of
Registration and Safety Information, Federal Motor Carrier Safety
Administration, 1200 New Jersey Avenue SE, Washington, DC 20590-0001 or
by telephone at 202-385-2405.

SUPPLEMENTARY INFORMATION:

I. Rulemaking Documents

A. Availability of Rulemaking Documents

For access to docket FMCSA-2018-0068 to read background documents,
go to https://www.regulations.gov at any time, or to Docket Services at
U.S. Department of Transportation, Room W12-140, 1200 New Jersey Avenue
SE, Washington, DC 20590, between 9 a.m. and 5 p.m., Monday through
Friday, except Federal holidays.

B. Privacy Act

In accordance with 5 U.S.C. 553(c), the U.S. Department of
Transportation (DOT) solicits comments from the public to better inform
its rulemaking process. DOT posts any comments, without edit, including
any personal information the commenter provides, to
www.regulations.gov, as described in the system of records notice (DOT/
ALL 14-FDMS), which can be reviewed at https://www.transportation.gov/privacy.

II. Abbreviations and Acronyms

The following is a list of abbreviations used in this document:

CE Categorical Exclusion
DOT U.S. Department of Transportation
E.O. Executive Order
FMCSA Federal Motor Carrier Safety Administration
NPRM Notice of proposed rulemaking
OMB Office of Management and Budget
PRA Paperwork Reduction Act
RFA Regulatory Flexibility Act
SBREFA Small Business Regulatory Enforcement Fairness Act
SBTC Small Business in Transportation Coalition
SSRS Single State Registration System
UCR Unified Carrier Registration
UCR Agreement Unified Carrier Registration Agreement
UCR Board Unified Carrier Registration Board of Directors
UCR Plan Unified Carrier Registration Plan

III. Executive Summary

A. Purpose and Summary of the Major Provisions

The UCR Plan and the 41 States participating in the UCR Agreement
establish and collect fees from motor carriers, motor private carriers
of property, brokers, freight forwarders, and leasing companies. The
UCR Plan and Agreement are administered by a 15-member board of
directors (UCR Board); 14 appointed from the participating States and
the industry,

[[Page 67125]]

plus the Deputy Administrator of FMCSA. Revenues collected are
allocated to the participating States and the UCR Plan. A maximum
amount that the UCR Plan may collect is established by statute. If
annual revenue collections will exceed the statutory maximum allowed,
then the UCR Plan must request adjustments to the fees. 49 U.S.C.
14504a(f)(1)(E). In addition, any excess funds held by the UCR Plan
after payments are made to the States and for administrative costs are
retained in the UCR depository, and subsequent fees charged must be
adjusted further in order to return the excess revenues held in the
depository as required by 49 U.S.C. 14504a(h)(4). Adjustments in the
fees are requested by the UCR Plan and approved by FMCSA. These two
provisions are the reasons for the two-stage adjustment adopted in this
final rule. The final rule provides for a reduction for at least the
next two registration years to the annual registration fees established
for the UCR Agreement.
For the 2019 registration year, the fees will be reduced below the
2017 registration fee level that was in effect by 18.62 percent to
ensure that fee revenues do not exceed the statutory maximum, and to
account for the excess funds held in the depository. The fees beginning
with the 2020 registration year will be reduced below the 2017 level by
approximately 9.9 percent. The reduction of the current 2019
registration year fees (finalized on January 5, 2018) ranges from
approximately $11 to $10,282 per entity, depending on the number of
vehicles owned or operated by the affected entities. The reduction in
fees for 2020 and subsequent registration years ranges from
approximately $5 to $3,899 per entity.

B. Benefits and Costs

The changes imposed by this final rule reduce the fees paid by
motor carriers, motor private carriers of property, brokers, freight
forwarders, and leasing companies to the participating States. While
each motor carrier will realize a reduced burden, fees are considered
by the Office of Management and Budget (OMB) Circular A-4, Regulatory
Analysis, as transfer payments, not costs. Transfer payments are
payments from one group to another that do not affect total resources
available to society. Therefore, transfers are not considered in the
monetization of societal costs and benefits of rulemakings.

IV. Legal Basis for the Rulemaking

This rule adjusts the annual registration fees for the UCR
Agreement established by 49 U.S.C. 14504a. The requested fee
adjustments are required by 49 U.S.C. 14504a because, for the
registration year 2017, the total revenues collected were expected to
exceed the total revenue entitlements of $107.78 million distributed to
the 41 participating States plus the $5 million established for the
administrative costs associated with the UCR Plan and Agreement.\1\ The
requested adjustments have been submitted by the UCR Plan in accordance
with 49 U.S.C. 14504a(f)(1)(E)(ii), which requires the UCR Board to
request an adjustment by the Secretary of Transportation (Secretary)
when the annual revenues collected exceed the maximum allowed. In
addition, 49 U.S.C. 14504a(h)(4) states that any excess funds held by
the UCR Plan in its depository, after payments to the States and for
administrative costs, shall be retained ``and the fees charged . . .
shall be reduced by the Secretary accordingly.''
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\1\ The UCR Plan is ``the organization . . . responsible for
developing, implementing, and administering the unified carrier
registration agreement.'' 49 U.S.C. 14504a(a)(9). The UCR Agreement
developed by the UCR Plan is the ``interstate agreement . . .
governing the collection and distribution of registration and
financial responsibility information provided and fees paid by motor
carriers, motor private carriers, brokers, freight forwarders, and
leasing companies. . . .'' 49 U.S.C. 14504a(a)(8).
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The UCR Plan also requested approval of a revised total revenue
target to be collected because of a reduction in the amount for costs
of administering the UCR Agreement. No changes in the revenue
entitlements to the participating States were recommended by the UCR
Plan. The revised total revenue target must be approved in accordance
with 49 U.S.C. 14504a(d)(7) and (g)(4).
The Secretary also has broad rulemaking authority in 49 U.S.C.
13301(a) to carry out 49 U.S.C. 14504a, which is part of 49 U.S.C.
subtitle IV, part B. Authority to administer these statutory provisions
has been delegated to the FMCSA Administrator by 49 CFR 1.87(a)(2) and
(7).\2\
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\2\ For the purpose of this rulemaking, the term ``FMCSA'' will
frequently be used in place of ``Secretary'' due to the delegated
authority provided by the Secretary. The term ``Secretary'' will be
used in quoted material and as otherwise appropriate.
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The Administrative Procedure Act allows agencies to make rules
effective immediately with good cause, instead of requiring publication
30 days prior to the effective date. 5 U.S.C. 553(d)(3). FMCSA finds
there is good cause for this rule to be effective upon publication so
that the UCR Plan and the participating States may begin collection of
fees immediately for the registration year that will begin on January
1, 2019. The immediate commencement of fee collection will avoid
further delay in distributing revenues to the participating States.

V. Statutory Requirements for the UCR Fees

A. Legislative History

The legislative history of 49 U.S.C. 14504a indicates that the
purpose of the UCR Plan and Agreement is both to replace the Single
State Registration System (SSRS) for registration of interstate motor
carrier entities with the States and to ``ensure that States don't lose
current revenues derived from SSRS.'' Sen. Rep. 109-120, at 2 (2005).
The statute provides for a 15-member board of directors for the UCR
Plan to be appointed by the Secretary. The statute specifies that the
UCR Board should consist of one director (either the FMCSA Deputy
Administrator or another Presidential appointee) from DOT; four
directors from among the chief administrative officers of the State
agencies responsible for administering the UCR Agreement (one from each
of the four FMCSA service areas); five directors from among the
professional staffs of State agencies responsible for administering the
UCR Agreement, to be nominated by the National Conference of State
Transportation Specialists; and five directors from the motor carrier
industry, of whom at least one must be from a national trade
association representing the general motor carrier of property industry
and one from a motor carrier that falls within the smallest fleet fee
bracket. 49 U.S.C. 14504a(d)(1)(B).
The UCR Plan and the participating States are authorized by 49
U.S.C. 14504a(f) to establish and collect fees from motor carriers,
motor private carriers of property, brokers, freight forwarders, and
leasing companies. The annual fees charged for registration year 2018
are set out in 49 CFR 367.40.
For carriers and freight forwarders, the fees vary according to the
size of the vehicle fleets, as required by 49 U.S.C. 14504a(f). The
fees collected are allocated to the States and the UCR Plan in
accordance with 49 U.S.C. 14504a(h). Participating States submit a plan
demonstrating that an amount equivalent to the revenues received are
used for motor carrier safety programs, enforcement, or the
administration of the UCR Plan and Agreement. 49 U.S.C.
14504a(e)(1)(B).
The UCR Plan and the participating States collect registration fees
for each

[[Page 67126]]

registration year, which is the same period as the calendar year.
Generally, collection begins on October 1 of the previous year, and
continues until December 31 of the year following the registration
year. All of the revenues collected are distributed to the
participating States or to the UCR Plan for administration of the UCR
Agreement. No funds are distributed to the Federal government.

B. Fee Requirements

The statute specifies that fees are to be based on the
recommendation of the UCR Board. 49 U.S.C. 14504a(d)(7)(A). In
recommending the level of fees to be assessed in any registration year,
and in setting the fee level, the statute states that both the UCR
Board and FMCSA ``shall consider'' the following factors:
Administrative costs associated with the UCR Plan and
Agreement;
Whether the revenues generated in the previous year and
any surplus or shortage from that or prior years enable the
participating States to achieve the revenue levels set by the UCR
Board; and
Provisions governing fees in 49 U.S.C. 14504a(f)(1).
FMCSA, if asked by the UCR Board, may also adjust the fees within a
reasonable range on an annual basis if the revenues collected from the
fees are either insufficient to provide the participating States with
the revenues they are entitled to receive or exceed those revenues. 49
U.S.C. 14504a(f)(1)(E).
Overall, the fees assessed under the UCR Agreement must produce the
level of revenue established by statute. Section 14504a(g) establishes
the revenue entitlements for States that choose to participate in the
UCR Plan. That section provides that a State, participating in SSRS in
the registration year prior to the enactment of the Unified Carrier
Registration Act of 2005, is entitled to receive revenues under the UCR
Agreement equivalent to the revenues it received in the year before
that enactment. Participating States that also collected intrastate
registration fees from interstate motor carrier entities (whether or
not they participated in SSRS) are also entitled to receive revenues of
this type under the UCR Agreement, in an amount equivalent to the
amount received in the year before the Act's enactment. Section
14504a(g) also requires that States that did not participate in SSRS
previously, but that choose to participate in the UCR Plan, may receive
revenues not to exceed $500,000 per year. The UCR Board calculates the
amount of revenue to which each participating State is entitled under
the UCR Agreement, which is then approved by FMCSA.
FMCSA's interpretation of its responsibilities under 49 U.S.C.
14504a in setting fees for the UCR Plan and Agreement are guided by the
primacy the statute places on the need both to set and to adjust the
fees so they ``provide the revenues to which the States are entitled.''
49 U.S.C. 14504a(f)(1)(E)(i). The statute links the requirement that
the fees be adjusted ``within a reasonable range'' by both the UCR Plan
and FMCSA to the provision of sufficient revenues to meet the
entitlements of the participating States. 49 U.S.C. 14504a(f)(1)(E);
see also 49 U.S.C. 14504a(d)(7)(A)(ii).
Section 14504a(h)(4) provides additional support for this
interpretation. The provision explicitly requires FMCSA to reduce the
fees for all motor carrier entities in the year following any year in
which the depository retains any funds in excess of the amount
necessary to satisfy the revenue entitlements of the participating
States and the UCR Plan's administrative costs.

VI. Recommendation from the UCR Plan

On December 14, 2017, the UCR Board voted unanimously to submit a
recommendation to the FMCSA to reduce the fees collected by the UCR
Plan for registration years 2019 and thereafter. The recommendation was
submitted to the FMCSA on January 11, 2018.\3\ The requested fee
adjustments are required by 49 U.S.C. 14504a because, for registration
year 2017, the total revenues collected were expected to exceed the
total revenue entitlements of $107.78 million distributed to the 41
participating States plus the $5 million established for ``the
administrative costs associated with the unified carrier registration
plan and agreement.'' 49 U.S.C. 14504a(d)(7)(A)(i). The maximum revenue
entitlements for each of the 41 participating States, established in
accordance with 49 U.S.C. 14504a(g), were set out in a table attached
to the January 11, 2018, recommendation.
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\3\ The January 11, 2018, recommendation from the UCR Plan and
all related tables are available in the docket for this rulemaking.
(See I.A. above.)
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As indicated in the analysis attached to the January 11, 2018,
recommendation letter, as of the end of November 2017, the UCR Plan had
already collected $7.30 million more than the statutory maximum of
$112.78 million for registration year 2017. The UCR Plan estimated that
by the end of 2018, total revenues would exceed the statutory maximum
by $9.17 million, or approximately 8.13 percent. The excess revenues
collected would be held in a depository maintained by the UCR Plan as
required by 49 U.S.C. 14504a(h)(4).
The UCR Plan's recommendation estimated the minimum projection of
revenue collections for December 2017 through December 2018 by summing
the collections within each of the registration years 2013 through 2015
\4\ and then comparing across years to find the minimum total amount.
This is the same methodology used to project collections and estimate
fees in the previous fee adjustment rulemaking. 83 FR 605 (January 5,
2018).
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\4\ Collections for registration year 2016 are not available for
use for this purpose because registration and fee collection for
that year was not finalized at the time of the UCR Plan
recommendation.
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Under 49 U.S.C. 14504a(d)(7), the costs incurred by the UCR Plan to
administer the UCR Agreement are eligible for inclusion in the total
revenue target, in addition to the revenue entitlements for the
participating States. The total revenue target for registration years
2010 to 2018, as approved in the 2010 final rule (75 FR 21993 (April
27, 2010)), has been $112,777,059.81, including $5,000,000 for
administrative costs. The UCR Plan's latest recommendation included a
reduction in the amount of the administrative costs to $3,500,000 for
the 2019 and 2020 registration years. The reduction of $1,500,000
recommended by the UCR Plan was based on estimates of future
administrative costs needed to operate the UCR Plan and Agreement. No
changes in the State revenue entitlements were recommended, and the
entitlement figures for 2019 and 2020 for the 41 participating States
are the same as those previously approved for the years 2010 through
2018. Therefore, for registration years 2019 and 2020, the UCR Plan
recommended a total revenue target of $111,277,060.
A notice of proposed rulemaking (NPRM) reflecting the
recommendation from the UCR Board was published by FMCSA. 83 FR 42244
(August 21, 2018). Comments addressing both the proposed adjustment in
the fees and the separate new total revenue target recommendation were
due on August 31, 2018.

VII. Discussion of the Comments

FMCSA received six comments on the NPRM. The commenters were: (1)
Avelino Gutierrez, UCR Board Chairman, and G. Scott Morris, Board
Member; (2) National Motor Freight Traffic Association, Inc.; (3) Small
Business in Transportation Coalition

[[Page 67127]]

(SBTC); (4) National School Transportation Association; (5) Kevin
Johnson; and (6) ``Anonymous.''

Avelino Gutierrez and G. Scott Morris

The comment was submitted by the two UCR Board members in their
individual capacities and provided updated information on the actual
and estimated revenue collections for the 2017 registration year.
Based on the updated information provided about actual and
estimated collections, and as required by the statutory provisions
involved, the fees established in this final rule have been adjusted
and are slightly lower than the fees proposed in the NPRM but are still
expected to enable the total revenue target to be met.

National Motor Freight Traffic Association, Inc. and Kevin Johnson

The National Motor Freight Traffic Association and Kevin Johnson
both support the proposed fee adjustment.

Small Business in Transportation Coalition

The comment from the Small Business in Transportation Coalition
(SBTC) raises several issues, not all of which are relevant to the
proposed fee adjustment.\5\ SBTC first asserts that the current
provisions of 49 CFR 367.50 setting the fees for 2019 and subsequent
years, as adopted in the final rule in Fees for Unified Carrier
Registration Plan and Agreement (83 FR 605 (January 5, 2018)), are
``unlawful and unenforceable.'' SBTC bases that contention on the
notion that the final rule was not adopted within 90 days after the
submission of the fee recommendation from the UCR Plan for the
adjustment made in the January 5 final rule. 49 U.S.C. 14504a(d)(7).
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\5\ The SBTC comment incorporates the text of a letter dated
August 8, 2018, addressed to the Secretary. The disposition of
SBTC's comments in this final rule also disposes of the contentions
in the August 8 letter.
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FMCSA notes that SBTC made the same contention regarding the effect
of this statutory provision in its comments in the previous rulemaking.
FMCSA rejected that contention in the January 5, 2018 final rule (see
83 FR 608) because it is now a well-established principle of
administrative law that a statutory deadline for agency action cannot,
in the ordinary course, bar action after the deadline unless that
consequence is stated explicitly in the statute. In the leading case,
Justice Marshall, in an opinion expressing the views of a unanimous
Supreme Court, stated:

We would be most reluctant to conclude that every failure of an
agency to observe a procedural requirement voids subsequent agency
action, especially when important public rights are at stake. When,
as here, there are less drastic remedies available for failure to
meet a statutory deadline, courts should not assume that Congress
intended the agency to lose its power to act.

Brock v. Pierce County, 476 U.S. 253, 260 (1976) (footnotes omitted).
In U.S. v. James Daniel Good Real Prop, 510 U.S. 43, 63 (1993), the
Court stated that ``if a statute does not specify a consequence for
noncompliance with statutory timing provisions, the Federal courts will
not in the ordinary course impose their own coercive sanction.'' See
also Gottlieb v. Pena, 41 F.3d 730, 733-35 (D.C. Cir. 1994).
SBTC cannot point to any explicit statement in the provisions of 49
U.S.C. 14504a that bars action by FMCSA if the 90-day period is not
met, because there is none. Thus, as explained by the Supreme Court's
decisions, the appropriate remedy for SBTC or any other interest
allegedly aggrieved by the Agency's failure to meet the statutory time
limit is to commence an action under the Administrative Procedure Act
``to compel agency action unlawfully withheld or unreasonably
delayed.'' 5 U.S.C. 706(1) and Brock v. Pierce County, 476 U.S. at 260,
n. 7. SBTC has not sought such a remedy, and, of course, its
availability is now removed by the issuance of this final rule. Cf.
Telecommunications Research & Action Center v. F.C.C., 750 F.2d 70, 80
(D.C. Cir. 1984).
In addition, there are important public rights at stake that would
be affected if FMCSA lost its power to act on the UCR Plan's
recommendation, as contended by SBTC. The fee reduction recommended by
the UCR Plan, proposed for implementation in the NPRM and now adopted
in this final rule (with a minor adjustment), is necessary under the
terms of two important provisions in the statute that require
compliance with the statutory maximum amount of revenues to be
collected by the UCR Plan and the participating States. 49 U.S.C.
14504a(f)(1)(E)(ii) and (h)(4).
SBTC renews its contention in its comment in this rulemaking that
FMCSA has lost the power to act on the new proposed adjustment based on
the 90-day provision in the statute. For the same reasons that this
contention was rejected in the previous rulemaking, it is rejected
again, and FMCSA and the Secretary have full power to act on the
proposed fee recommendation.
SBTC's further contention that the fees in current section 367.50
are unenforceable for the 2019 registration year because, it alleges,
proper procedures were not followed in setting the current fees for
2019, overlooks the fact that in this rulemaking the UCR Plan is
recommending, and FMCSA has properly considered, proposed, and is now
adopting, an adjustment in the fees for the 2019 registration year by
revising 49 CFR 367.50. 83 FR 42250-51. In any event, FMCSA notes that
the delay setting the fees for the 2019 registration year has not
prejudiced entities subject to the registration fees. The UCR Plan has
amended the UCR Agreement to provide that when an adjustment in fees is
pending before FMCSA and DOT, registration and collection of fees will
not begin until the effective date of the adjusted fees. Therefore, the
fees established for registration year 2019 by either current 49 CFR
367.50 or its proposed amendment will not be collected by the UCR Plan
and the participating States until this final rule and any adjustment
in the fees for 2019 becomes effective.
Another contention by SBTC is that the UCR Plan should not be
recommending, nor should FMCSA be acting on, a fee change for the 2020
registration year (see proposed 49 CFR 367.60, 83 FR 42251), claiming
that it should not be done until information is available about the
prior year's revenues. SBTC fails to recognize that the proposed two-
step adjustment in the fees is required by the statute. As indicated in
the NPRM, 49 U.S.C. 14504a(f)(1)(E)(ii) requires the fees to be reduced
so that the revenues collected meet the total revenue target, and 49
U.S.C. 14504(a)(h)(4) requires a further one-year reduction in order to
return to the industry excess revenues held in the depository
established by the UCR Plan. Such a process necessarily relies on
initial estimates and projections of revenue collections, with fee
adjustments based on actual revenue collections as appropriate.
SBTC also states that the Agency would not be informed about the
increase in the total actual and estimated revenues collected for the
2017 registration year. But as explained in the discussion above, the
increase of $1,578,968 in the total collections available is public
information and has been provided for the record in this rulemaking,
and has been taken into account in setting the fees in this final rule.

National School Transportation Association

The National School Transportation Association supports the
proposed fee reduction. But it also requests that

[[Page 67128]]

FMCSA and the UCR Plan reconsider recent determinations by the UCR Plan
regarding the treatment of school buses for purposes of the UCR
Agreement.
FMCSA does not have authority to reconsider the determination on
this issue by the UCR Plan. The UCR Board has sole authority to
administer the UCR Agreement in accordance with the statute. 49 U.S.C.
14504a(d)(2), (f)(2) and (f)(3). This issue is beyond the scope of this
rulemaking. Therefore, the request for reconsideration cannot and will
not be acted upon by FMCSA.

Anonymous

One anonymous comment was submitted and supported the Agency's
determination in the NPRM that Executive Order (E.O.) 13771, Reducing
Regulation and Controlling Regulatory Costs, was not applicable to this
rulemaking. The comment was otherwise not relevant to this rulemaking.

VIII. Approval of Total Revenue Target

No comments to the NPRM addressed the proposed adjustment in the
total revenue target to $111,277,060.00, which reflects a reduction in
the amount of the administrative costs from $5,000,000 to $3,500,000.
Therefore, in accordance with 49 U.S.C. 14504a(d)(7) and (g)(4), the
following table of State revenue entitlements, administrative costs,
and the total revenue target under the UCR Agreement, as proposed in
the NPRM, is approved. These State revenue entitlements, the
administrative costs, and the total revenue target will remain in
effect for 2019 and subsequent years unless and until approval of a
revision occurs.

State UCR Revenue Entitlements and Final 2019 Total Revenue Target
------------------------------------------------------------------------
Total 2019 UCR
State revenue
entitlements
------------------------------------------------------------------------
Alabama................................................ $2,939,964.00
Arkansas............................................... 1,817,360.00
California............................................. 2,131,710.00
Colorado............................................... 1,801,615.00
Connecticut............................................ 3,129,840.00
Georgia................................................ 2,660,060.00
Idaho.................................................. 547,696.68
Illinois............................................... 3,516,993.00
Indiana................................................ 2,364,879.00
Iowa................................................... 474,742.00
Kansas................................................. 4,344,290.00
Kentucky............................................... 5,365,980.00
Louisiana.............................................. 4,063,836.00
Maine.................................................. 1,555,672.00
Massachusetts.......................................... 2,282,887.00
Michigan............................................... 7,520,717.00
Minnesota.............................................. 1,137,132.30
Missouri............................................... 2,342,000.00
Mississippi............................................ 4,322,100.00
Montana................................................ 1,049,063.00
Nebraska............................................... 741,974.00
New Hampshire.......................................... 2,273,299.00
New Mexico............................................. 3,292,233.00
New York............................................... 4,414,538.00
North Carolina......................................... 372,007.00
North Dakota........................................... 2,010,434.00
Ohio................................................... 4,813,877.74
Oklahoma............................................... 2,457,796.00
Pennsylvania........................................... 4,945,527.00
Rhode Island........................................... 2,285,486.00
South Carolina......................................... 2,420,120.00
South Dakota........................................... 855,623.00
Tennessee.............................................. 4,759,329.00
Texas.................................................. 2,718,628.06
Utah................................................... 2,098,408.00
Virginia............................................... 4,852,865.00
Washington............................................. 2,467,971.00
West Virginia.......................................... 1,431,727.03
Wisconsin.............................................. 2,196,680.00
Sub-Total.............................................. 106,777,059.81
Alaska................................................. 500,000.00
Delaware............................................... 500,000.00
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Total State Revenue Entitlement...................... 107,777,060.00
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Administrative Costs................................. 3,500,000.00
----------------
Total Revenue Target................................. 111,277,060.00
------------------------------------------------------------------------

IX. International Impacts

Motor carriers and other entities involved in interstate and
foreign transportation in the United States that do not have a
principal office in the United States are nonetheless subject to the
fees for the UCR Plan. They are required to designate a participating
State as a base State and pay the appropriate fees to that State. 49
U.S.C. 14504a(a)(2)(B)(ii) and (f)(4).

X. Section-by-Section Analysis

Under this final rule, provisions of 49 CFR 367.50 (which were
adopted in the January 5, 2018, final rule) are revised to establish
new reduced fees applicable only to registration year 2019. A new 49
CFR 367.60 establishes the fees for registration year 2020, which will
remain in effect for subsequent registration years unless revised in
the future.

XI. Regulatory Analyses

A. E.O. 12866 (Regulatory Planning and Review), E.O. 13563 (Improving
Regulation and Regulatory Review), and DOT Regulatory Policies and
Procedures

FMCSA determined that this final rule is not a significant
regulatory action under section 3(f) of E.O. 12866, 58 FR 51735
(October 4, 1993), Regulatory Planning and Review, as supplemented by
E.O. 13563, 76 FR 3821 (January 21, 2011), Improving Regulation and
Regulatory Review, and does not require an assessment of potential
costs and benefits under section 6(a)(3) of that Order. Accordingly,
OMB has not reviewed it under that Order. It is also not significant
within the meaning of DOT regulatory policies and procedures (DOT Order
2100.5 dated May 22, 1980; 44 FR 11034 (February 26, 1979)).
The changes imposed by this final rule adjust the registration fees
paid by motor carriers, motor private carriers of property, brokers,
freight forwarders, and leasing companies to the UCR Plan and the
participating States. Fees are considered by OMB Circular A-4,
Regulatory Analysis, as transfer payments, not costs. Transfer payments
are payments from one group to another that do not affect total
resources available to society. By definition, transfers are not
considered in the monetization of societal costs and benefits of
rulemakings.
This rule establishes reductions in the annual registration fees
for the UCR Plan and Agreement. The entities affected by this rule are
the participating States, motor carriers, motor private carriers of
property, brokers, freight forwarders, and leasing companies. Because
the State UCR revenue entitlements will remain unchanged, the
participating States will not be impacted by this rule. The primary
impact of this rule will be a reduction in fees paid by individual
motor carriers, motor private carriers of property, brokers, freight
forwarders, and leasing companies. The reduction of the current 2019
registration year fees (finalized on January 5, 2018) ranges from
approximately $11 to $10,282 per entity, depending on the number of
vehicles owned or operated by the affected entities. The reductions in
fees for subsequent registration years range from approximately $5 to
$3,899 per entity.

B. E.O. 13771 Reducing Regulation and Controlling Regulatory Costs

This final rule is not an E.O. 13771 regulatory action because this
rule is not significant under E.O. 12866.\6\
---------------------------------------------------------------------------

\6\ Executive Office of the President, Office of Management and
Budget. Guidance Implementing Executive Order 13771, Titled
``Reducing Regulation and Controlling Regulatory Costs.'' Memorandum
M-17-21. April 5, 2017.
---------------------------------------------------------------------------

C. Regulatory Flexibility Act

The Regulatory Flexibility Act of 1980 (RFA) (5 U.S.C. 601 et
seq.), as amended by the Small Business Regulatory Enforcement Fairness
Act of 1996

[[Page 67129]]

(SBREFA) (Pub. L. 104-121, 110 Stat. 857), requires Federal agencies to
consider the impact of their regulatory proposals on small entities,
analyze effective alternatives that minimize small entity impacts, and
make their analyses available for public comment. The term ``small
entities'' means small businesses and not-for-profit organizations that
are independently owned and operated and are not dominant in their
fields, and governmental jurisdictions with populations under
50,000.\7\ Accordingly, DOT policy requires an analysis of the impact
of all regulations on small entities, and mandates that agencies strive
to lessen any adverse effects on these entities. Section 605 of the RFA
allows an agency to certify a rule, in lieu of preparing an analysis,
if the rulemaking is not expected to have a significant economic impact
on a substantial number of small entities.
---------------------------------------------------------------------------

\7\ Regulatory Flexibility Act (5 U.S.C. 601 et seq.).
---------------------------------------------------------------------------

This rule will directly affect the participating States, motor
carriers, motor private carriers of property, brokers, freight
forwarders, and leasing companies. Under the standards of the RFA, as
amended by the SBREFA, the participating States are not small entities.
States are not considered small entities because they do not meet the
definition of a small entity in section 601 of the RFA. Specifically,
States are not considered small governmental jurisdictions under
section 601(5) of the RFA, both because State government is not
included among the various levels of government listed in section
601(5), and because, even if this were the case, no State nor the
District of Columbia has a population of less than 50,000, which is the
criterion by which a governmental jurisdiction is considered small
under section 601(5) of the RFA.
The Small Business Administration (SBA) size standard for a small
entity (13 CFR 121.201) differs by industry code. The entities affected
by this rule fall into many different industry codes. In order to
determine if this rule would have an impact on a significant number of
small entities, FMCSA examined the 2012 Economic Census \8\ data for
two different industries; truck transportation (Subsector 484) and
transit and ground transportation (Subsector 485). According to the
2012 Economic Census, approximately 99 percent of truck transportation
firms, and approximately 97 percent of transit and ground
transportation firms, had annual revenue less than the SBA revenue
threshold of $27.5 million and $15 million, respectively. Therefore,
FMCSA has determined that this rule will impact a substantial number of
small entities.
---------------------------------------------------------------------------

\8\ U.S. Census Bureau, 2012 US Economic Census. Available at:
https://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2012_US_48SSSZ4&prodType=table (accessed
October 24, 2018).
---------------------------------------------------------------------------

However, FMCSA has determined that this rule will not have a
significant impact on the affected entities. The effect of this rule
will be to reduce the registration fee motor carriers, motor private
carriers of property, brokers, freight forwarders, and leasing
companies are currently required to pay. The reduction will range from
approximately $11 to $10,282 per entity, in the first year, and from
approximately $5 to $3,899 per entity in subsequent years, depending on
the number of vehicles owned and/or operated by the affected entities.
FMCSA asserts that the reduction in fees will not have a significant
impact on the affected small entities. Accordingly, I hereby certify
that this rule will not have a significant economic impact on a
substantial number of small entities.

D. Assistance for Small Entities

In accordance with section 213(a) of the SBREFA, FMCSA wants to
assist small entities in understanding this final rule so that they can
better evaluate its effects on themselves and participate in the
rulemaking initiative. If the final rule would affect your small
business, organization, or governmental jurisdiction and you have
questions concerning its provisions or options for compliance, please
consult the FMCSA point of contact, Gerald Folsom, listed in the For
Further Information Contact section of this final rule.
Small businesses may send comments on the actions of Federal
employees who enforce or otherwise determine compliance with Federal
regulations to the Small Business Administration's Small Business and
Agriculture Regulatory Enforcement Ombudsman and the Regional Small
Business Regulatory Fairness Boards. The Ombudsman evaluates these
actions annually and rates each agency's responsiveness to small
business. If you wish to comment on actions by employees of FMCSA, call
1-888-REG-FAIR (1-888-734-3247). DOT has a policy regarding the rights
of small entities to regulatory enforcement fairness and an explicit
policy against retaliation for exercising these rights.

E. Unfunded Mandates Reform Act of 1995

The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538)
requires Federal agencies to assess the effects of their discretionary
regulatory actions. In particular, the Act addresses actions that may
result in the expenditure by a State, local, or tribal government, in
the aggregate, or by the private sector of $161 million (which is the
value equivalent of $100 million in 1995, adjusted for inflation to
2017 levels) or more in any one year. Though this final rule will not
result in any such expenditure, the Agency discusses the effects of
this rule elsewhere in this preamble.

F. Paperwork Reduction Act

Under the Paperwork Reduction Act of 1995 (PRA) (44 U.S.C. 3501 et
seq.), Federal agencies must obtain approval from OMB for each
collection of information they conduct, sponsor, or require through
regulations. FMCSA determined that no information collection
requirements are associated with this final rule. Therefore, the PRA
does not apply to this final rule.

G. E.O. 13132 (Federalism)

A rule has implications for federalism under section 1(a) of E.O.
13132 if it has ``substantial direct effects on the States, on the
relationship between the national government and the States, or on the
distribution of power and responsibilities among the various levels of
government.'' FMCSA has determined that this rule would not have
substantial direct costs on or for States, nor would it limit the
policymaking discretion of States. Nothing in this document preempts
any State law or regulation, imposes substantial direct unreimbursed
compliance costs on any State, or diminishes the power of any State to
enforce its own laws. As detailed above, the UCR Board includes
substantial State representation. The States have already had
opportunity for input through their representatives. Accordingly, this
rulemaking does not have federalism implications warranting the
application of E.O. 13132.

H. E.O. 12988 (Civil Justice Reform)

This final rule meets applicable standards in sections 3(a) and
3(b) (2) of E.O. 12988, Civil Justice Reform, to minimize litigation,
eliminates ambiguity, and reduce burden.

I. E.O. 13045 (Protection of Children)

E.O. 13045, Protection of Children from Environmental Health Risks
and Safety Risks, 62 FR 19885 (April 23, 1997), requires agencies
issuing ``economically significant'' rules, if the regulation also
concerns an environmental health or safety risk that an agency has
reason to believe may disproportionately affect children, to

[[Page 67130]]

include an evaluation of the regulation's environmental health and
safety effects on children. The Agency determined this final rule is
not economically significant. Therefore, no analysis of the impacts on
children is required. In any event, the Agency does not anticipate that
this regulatory action could in any respect present an environmental or
safety risk that could disproportionately affect children.

J. E.O. 12630 (Taking of Private Property)

FMCSA reviewed this final rule in accordance with E.O. 12630,
Governmental Actions and Interference with Constitutionally Protected
Property Rights, and has determined it will not effect a taking of
private property or otherwise have taking implications.

K. Privacy Impact Assessment

Section 522 of title I of division H of the Consolidated
Appropriations Act, 2005, enacted December 8, 2004 (Pub. L. 108-447,
118 Stat. 2809, 3268, 5 U.S.C. 552a note), requires the Agency to
conduct a privacy impact assessment of a regulation that will affect
the privacy of individuals. This rule does not require the collection
of personally identifiable information.

L. E.O. 12372 (Intergovernmental Review)

The regulations implementing E.O. 12372 regarding intergovernmental
consultation on Federal programs and activities do not apply to this
program.

M. E.O. 13211 (Energy Supply, Distribution, or Use)

FMCSA has analyzed this final rule under E.O. 13211, Actions
Concerning Regulations That Significantly Affect Energy Supply,
Distribution, or Use. The Agency has determined that this rule is not a
``significant energy action'' under that order because it is not a
``significant regulatory action'' likely to have a significant adverse
effect on the supply, distribution, or use of energy. Therefore, it
does not require a Statement of Energy Effects under E.O. 13211.

N. E.O. 13175 (Indian Tribal Governments)

This rule does not have Tribal implications under E.O. 13175,
Consultation and Coordination with Indian Tribal Governments, because
it does not have a substantial direct effect on one or more Indian
Tribes, on the relationship between the Federal Government and Indian
Tribes, or on the distribution of power and responsibilities between
the Federal Government and Indian Tribes.

O. National Technology Transfer and Advancement Act (Technical
Standards)

The National Technology Transfer and Advancement Act (15 U.S.C. 272
note) directs agencies to use voluntary consensus standards in their
regulatory activities unless the agency provides Congress, through OMB,
with an explanation of why using these standards would be inconsistent
with applicable law or otherwise impractical. Voluntary consensus
standards (e.g., specifications of materials, performance, design, or
operation; test methods; sampling procedures; and related management
systems practices) are standards that are developed or adopted by
voluntary consensus standards bodies. This rule does not use technical
standards. Therefore, FMCSA did not consider the use of voluntary
consensus standards.

P. National Environmental Policy Act

FMCSA analyzed this rule for the purpose of the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and
determined this action is categorically excluded from further analysis
and documentation in an environmental assessment or environmental
impact statement under FMCSA Order 5610.1, 69 FR 9680 (March 1, 2004),
Appendix 2, paragraph 6.h. The Categorical Exclusion (CE) in paragraph
6.h. covers regulations and actions taken pursuant to the regulations
implementing procedures to collect fees that will be charged for motor
carrier registrations. The content in this rule is covered by this CE
and the final action does not have any effect on the quality of the
environment. The CE determination is available in the docket.

List of Subjects in 49 CFR Part 367

Insurance, Intergovernmental relations, Motor carriers, Surety
bonds.

For the reasons discussed in the preamble, FMCSA is amending title
49 CFR chapter III, part 367 as follows:

PART 367--STANDARDS FOR REGISTRATION WITH STATES

0
1. The authority citation for part 367 continues to read as follows:

Authority: 49 U.S.C. 13301, 14504a; and 49 CFR 1.87.

0
2. Revise Sec. 367.50 to read as follows:

Sec. 367.50 Fees under the Unified Carrier Registration Plan and
Agreement for registration year 2019.

Table 1 to Sec. 367.50--Fees Under the Unified Carrier Registration Plan and Agreement for Registration Year
2019
----------------------------------------------------------------------------------------------------------------
Number of commercial motor Fee per entity for
vehicles owned or operated by exempt or non-exempt Fee per entity for
Bracket exempt or non-exempt motor motor carrier, motor broker or leasing
carrier, motor private carrier, private carrier, or company
or freight forwarder freight forwarder
----------------------------------------------------------------------------------------------------------------
B1........................... 0-2............................ $62 $62
B2........................... 3-5............................ 185 .......................
B3........................... 6-20........................... 368 .......................
B4........................... 21-100......................... 1,283 .......................
B5........................... 101-1,000...................... 6,112 .......................
B6........................... 1,001 and above................ 59,689 .......................
----------------------------------------------------------------------------------------------------------------

0
3. Add Sec. 367.60 to subpart B to read as follows:

Sec. 367.60 Fees under the Unified Carrier Registration Plan and
Agreement for registration years beginning in 2020.

[[Page 67131]]

Table 1 to Sec. 367.60--Fees Under the Unified Carrier Registration Plan and Agreement for Registration Year
2020 and Each Subsequent Registration Year Thereafter
----------------------------------------------------------------------------------------------------------------
Number of commercial motor Fee per entity for
vehicles owned or operated by exempt or non-exempt Fee per entity for
Bracket exempt or non-exempt motor motor carrier, motor broker or leasing
carrier, motor private carrier, private carrier, or company
or freight forwarder freight forwarder
----------------------------------------------------------------------------------------------------------------
B1........................... 0-2............................ $68 $68
B2........................... 3-5............................ 204 .......................
B3........................... 6-20........................... 407 .......................
B4........................... 21-100......................... 1,420 .......................
B5........................... 101-1,000...................... 6,766 .......................
B6........................... 1,001 and above................ 66,072 .......................
----------------------------------------------------------------------------------------------------------------

Issued under authority delegated in 49 CFR 1.87 on: December 20,
2018.
Raymond P. Martinez,
Administrator.
[FR Doc. 2018-28170 Filed 12-27-18; 8:45 am]
BILLING CODE 4910-EX-P