National Highway Traffic Safety Administration
Office of Vehicle Safety Compliance

REGISTERED IMPORTER NEWSLETTER No. 8

January 3, 1996

 

SPEEDING UP PROCESSING OF REGISTERED IMPORTER (RI) PETITIONS, APPLICATIONS, AND COMPLIANCE PACKAGES

NHTSA has set up a special MAIL STOP for receiving import documents. Please address your mail, both overnight mail or other, to the following (includes mail for George Entwistle, David Coleman, Barbara Gray, John Lewis, Luke Loy, Dick Merritt and Roy Shannon):

USDOT/NHTSA

MAIL CODE: NSA-3202

400 7TH ST SW, Room 6115

WASHINGTON DC 20590

BACKGROUND INFORMATION FOR REGISTERED IMPORTER (RI) PROGRAM


During the mid-1980s gray market vehicles were being imported into the U.S. from Europe by the thousands. The law for importing a vehicle at that time permitted anyone to import a gray market vehicle and to have the vehicle brought into compliance with the applicable safety requirements by any person capable of making the modifications. Due to a lack of control over the compliance work being performed, our office discovered that this work often was being done improperly or not at all. Therefore, Congress revised the law in 1988 to establish a system whereby only RIs could perform the modifications within the guidelines stated in Part 592 of Title 49 Code of Federal Regulations (CFR). These requirements are not currently being met by some RIs. After receipt of this bulletin, all requirements must be met.

NO SUBCONTRACTING


In the course of the rulemaking to establish Part 592, the agency proposed that the RI application contain a statement of whether the RI would modify the vehicles for which it furnishes certificates of conformity, and if not, to provide the names and addresses of all agents who would be the actual modifiers.

The concept that an RI could delegate actual conformance work was opposed by Mercedes-Benz and The Dealer Action Association (TDAA). Both commenters argued that this did not fulfill the statutory purpose of increased accountability for conversion, and cited statements from the Congressional Record in support of their position. In Mercedes' opinion, NHTSA would open an area of potential dispute when the object of the 1988 Act was to clarify NHTSA's jurisdiction. Mercedes contended that conformance operations must be carried out by RIs, their employees, or subsidiaries, because the legal line between an "agent" and an "independent contractor" is not always clear, raising the possibility that an RI might structure a relationship to avoid acts of a modifier, including fraud.

NHTSA carefully considered these comments. It believed that the provisions of the 1988 Act were complex enough that regulations should not be adopted that open additional avenues of potential dispute or complications with RIs that might dilute the responsibility imposed by the 1988 Act, and which might result in less than full achievement of the intent of Congress when these approaches have not been specifically directed by Congress. Therefore, it agreed with the comments of Mercedes and TDAA, and did not adopt those aspects of the proposal that countenanced delegation of conformance responsibilities to an agent. A RI must be capable of bringing vehicles into compliance and this means no work can be contracted out. This is a matter of public record, and contained in the preamble adopting Part 592 (Sept. 29, 1989). All RIs are being notified of this requirement which was explained in the preamble. Subsequent to receiving this letter, if modification work is contracted out, the RI may have its registration revoked.

RI MUST CERTIFY


Under 49 CFR 592.6(d), an RI must certify that the vehicles conform. It performs the required modifications and then installs its certification label on the vehicle. Only the RI is allowed to apply its certification label. Section 592.6 requires that an RI "permanently affix to each motor vehicle, upon completion of modifications," a certification label that identifies the RI, and attests to the fact that the vehicle has been brought into conformity with all applicable Federal motor vehicle safety standards. The label shall only be applied after all the needed modifications have been performed. If all modifications have not been performed before the certification label is applied, it would be a false certification and may make the RI liable for a penalty.

CHANGE OF ADDRESS


This office requires the RI application to identify the address for the applicant's office, maintenance facility, and storage lot. Vehicles must be stored at a specific location and available for inspection. Section 592.5(f) requires an RI to notify the Administrator in writing of any change that occurs in the information which is submitted in its application, no later than the end of the 30th calendar day after such change. If an RI is in violation of this requirement, action may be taken against the RI depending on the circumstance. If an RI has a facility other than those identified in its application, it must notify our office of the address immediately.

ALSO, EACH RI MUST REAFFIRM BY FAX OR LETTER ITS TELEPHONE NUMBERS AND FAX NUMBERS FOR EACH LOCATION SINCE MANY AREA CODES HAVE BEEN RECENTLY CHANGED.

MODIFICATION FACILITY


All RIs are required to have a maintenance facility with a person capable of performing modifications needed to bring vehicles into conformity with the applicable standards and regulations. Any RI without such a facility or personnel will have its registration revoked.

VEHICLE ENTRY BONDS


On Nov. 24, 1995 (60 FR 57953) (copy attached), NHTSA published amendments to Part 591 concerning the bond requirement to accompany the permanent importation of nonconforming motor vehicles to ensure their eventual compliance with the FMVSS. There are now two options for the bond. A single bond form can be used for either of the options which must be in an amount of 150 percent of the dutiable value of each vehicle:

Option 1 - "Bond for the Entry of a Single Vehicle," Appendix A, Section 591.5(f), shows the form for a single vehicle bond.

Option 2 - "Bond for the Entry of More Than a Single Vehicle," Appendix B, Section 591.5(f), shows the form for a bond for single entry of multiple vehicles through a single port with the attachment of U.S. Customs Service Form CF 7501.

  REFERENCE INFORMATION

FMVSSs
101- Controls and Displays (Inspection)

102- Transmission Shift Lever Sequences, etc. (Inspection)

103- Windshield Defrosting and Defogging

104- Windshield Wiping and Washing

105- Hydraulic Brake System

106- Brake Hoses

107- Reflecting Surfaces (Inspection)

108- Lamps, etc.

109- Passenger Car (PC) New Pneumatic Tires

110- PC Tire Selection and Rims

111- Rearview Mirrors

112- Headlamp Concealment Devices (Inspection)

113- Hood Latch Systems (Inspection)

114- Theft Protection (Inspection)

115- Vehicle Identification Number (VIN) (Inspection)

116- Hydraulic Brake Fluids

117- Retreaded Pneumatic Tires (Inspection)

118- Power-Operated Window Systems

119- Truck/Bus New Pneumatic Tires

120- Truck/Bus Tire Selection & Rims

121- Air Brake Systems

122- Motorcycle Brake Systems

123- Motorcycle Controls and Displays (Inspection)

124- Accelerator Control Systems

125- Warning Devices

126- Truck-Camper Loading

129- Pass. Car New Non-Pneumatic Tires

131- School Bus Pedestrian Safety Devices

135- Pass. Car Brake Systems

201- Occupant Protection in Interior Impact

202- Head Restraints

203- Impact Protection for the Driver from Steering Control

204- Steering Control Rearward Displacement

205- Glazing Materials (Inspection)

206- Door Locks and Door Retention Components

207- Seating Systems

208- Occupant Crash Protection

209- Seat Belt Assemblies

210- Seat Belt Assembly Anchorages

211- Wheel Nuts, Wheel Discs, and Hub Caps (Inspection)

212- Windshield Mounting

213- Child Restraint Systems

214- Side Impact Protection

216- Roof Crush Resistance

217- Bus Window Retention and Release

218- Motorcycle Helmets

219- Windshield Zone Intrusion

301- Fuel System Integrity

302- Flammability of Interior Materials

303- Fuel System Integrity of CNG Vehicles

304- CNG Fuel Container Integrity

REGULATIONS


P541- Theft Prevention Standard

P565- VIN Content Requirements

P566- Manufacturer Identification

P567- Certification Regulation

P568- Vehicles Manufactured in Two or More Stages

P569- Regrooved Tires

P572- Anthropomorphic Test Dummies

P573- Defect and Noncompliance Reports

P574- Tire Identification

P575.103- Truck-Camper Loading

P575.104- Uniform Tire Quality Grading Standards (UTQG)

P577- Defect and Noncompliance Notification

P579- Defect and Noncompliance Responsibility

P581- Bumper Standard

P591- Importation of Vehicles & Equipment Subject to FMVSS

P592- Registered Importers

P593- Determination for Eligibility for Importation of Vehicles

P594- Registered Importer Fee Schedule

All questions concerning this newsletter should be directed to George Entwistle, 202-366-5306.