Frequently Asked Questions
 

New Phase 3 Engine Standards 

Affecting Retailers and Importers of 

Lawn and Garden Equipment 

The Environmental Protection Agency (EPA) has adopted new 

regulations for nonroad spark-ignition engines that operate at or 

below 19 kW (www.epa.gov/otaq/regs/nonroad/marinesi-equipld/bondfrm.pdf). These engines, often called Small SI engines, are used in 

lawn and garden equipment and a wide range of other residential and 

commercial equipment. This fact sheet answers questions about these 

new standards for retailers, dealers, distributors and importers of this 

equipment. 

What are the new regulations, and when do they go into effect? 

The new regulations put in place a set of more stringent exhaust standards and 

establish new evaporative emission standards for the fuel tanks and fuel lines used in 

this equipment. We refer to these as the Phase 3 standards. They apply starting in the 

2011 model year for Class II engines (above 225 cc) and in the 2012 model year for 

Class I engines (less than 225 cc, used in nonhandheld applications). The Phase 3 

standards generally start in 2010 for handheld products. 

Who should read this fact sheet? 

Manufactures, retailers, dealers and distributors of Small SI engines should read this 

fact sheet to learn about their responsibilities under the new regulations, and to learn 

some practical steps to ensure compliance. 

In the case of imported engines and equipment, this fact sheet is addressed primarily 

to retailers that are not the importer of record. Because retailers that are the importer 

of record are subject to all the requirements that apply for importers under the Clean 

Air Act and the regulations, they have additional responsibilities beyond what we 

describe in this fact sheet. 

Office of Transportation and Air Quality 

EPA-420-F-09-031 

August 2009 
 

 

 

Frequently Asked Questions
 

How do these new regulations impact U.S. manufacturers of Small SI engines? 

In order to sell this equipment in the U.S., manufacturers must first apply to EPA for a certificate 

of conformity (certificate). To obtain a certificate, manufacturers must perform tests and complete 

a certification process to ensure they meet emission standards. Each engine covered by a certificate must have an EPA emission label that describes its certification status. 

The new regulations also clarify that retailers, dealers, and distributors have responsibilities under the Clean Air Act to ensure that Small SI engines conform to the regulations. 

What are the general responsibilities of retailers, dealers and distributors under these 

new regulations? 

The new regulations clarify that it is a violation of the federal Clean Air Act to “cause someone 

to commit a prohibited act,” such as importing or manufacturing noncompliant engines, equipment or regulated fuel-system components. For example, in certain circumstances we may hold 

you responsible for causing the importation of uncertified engines or equipment. We may also 

hold you responsible if the manufacturer failed to properly label the engines or equipment or if 

they have not met other requirements under the regulations. We may assess a civil penalty of up 

to $37,500 for each engine or piece of equipment in violation. 

In assessing whether you have committed a violation, we will consider your particular efforts or 

influence that may have caused or could have prevented the prohibited act from occurring. 

Accordingly, you should take reasonable precautions to ensure that your suppliers and their 

products comply fully with the regulations. 

How can I ensure compliance? 

You can take some or all of the following steps to confirm that you are not in violation by causing a prohibited act: 

•	 Request copies of the EPA certificates of conformity before you commit to purchasing 


engine-powered equipment.
 

•	 Review certification information on our web site at www.epa.gov/otaq/certdata.htm. This 

web site identifies the engines and equipment models that have received a certificate of 

conformity from EPA. EPA updates this information on a routine basis, but there can be 

some lag time from when certificates are issues to when they are posted. 

•	 Ask the manufacturer or importer to send a picture of the EPA emission label before you 

purchase their products. You may also want to inspect shipped products to confirm that 

proper emission labels are in place. 

•	 Starting January 1, 2010 for 2010 model year products, the regulations require manufacturers or importers to post a bond for their products if they don’t meet certain criteria. 

Ask your supplier to show how they either have arranged for a bond or they qualify for an 

exemption. 

•	 Starting with 2010 model year products, manufacturers or importers must maintain a repair 

network and meet other requirements to ensure compliance with warranty requirements. 

Ask your supplier to show how they meet these requirements. 

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Frequently Asked Questions
 

What are the labeling requirements in the new regulations? 

Emission labels are one of the most important tools for EPA or U.S. Customs inspectors to 

determine whether products meet regulatory requirements. These labels can also help you avoid 

a situation where you purchase products that do not conform to the regulations. 

The new Phase 3 regulations require that engines, fuel-system components and evaporative 

emission control systems must be properly labeled with permanent and legible labels to indicate 

that they meet all applicable EPA requirements. 

For the last several years, certified engines have included labels describing how they comply 

with exhaust emission standards. This label contains basic information such as the manufacturer’s name and EPA family name. Starting with the Phase 3 standards, manufacturers must also 

include the regulatory useful life of the engine on the label. See the complete list of engine label 

requirements for Phase 3 engines at §1054.135 (http://ecfr.gpoaccess.gov/cgi/t/text/text-idx?c=ec 

fr&sid=670538974a7fa304d732ffc6067a8ef7&rgn=div8&view=text&node=40:32.0.1.1.8.2.1.11 

&idno=40). 

The equipment and fuel system components must also be labeled to demonstrate compliance 

with evaporative emission standards. See §1060.135 (http://ecfr.gpoaccess.gov/cgi/t/text/textidx?c=ecfr&sid=670538974a7fa304d732ffc6067a8ef7&rgn=div8&view=text&node=40:32.0.1.1 

.9.2.1.9&idno=40) for requirements related to labeling equipment. 

See §1060.137 http://ecfr.gpoaccess.gov/cgi/t/text/text-idx?c=ecfr&sid=670538974a7fa304d73 

2ffc6067a8ef7&rgn=div8&view=text&node=40:32.0.1.1.9.2.1.10&idno=40) for requirements 

related to labeling fuel tanks, fuel lines, and fuel caps. 

What are the warranty service and repair network requirements in the new regulations? 

The new Phase 3 regulations require that certificate holders must provide a two-year warranty 

(from the point of retail sale) for all engine components whose failure would increase exhaust 

emissions. The certifying engine manufacturer must maintain a supply of replacement parts in 

the United States and provide and monitor a toll-free telephone number and e-mail address to 

respond to warranty claims. 

EPA has expanded its warranty coverage requirements to ensure that product owners have 

guaranteed access to free emission warranty repair work. For example, we generally require that 

manufacturers or importers maintain a network of authorized service centers with locations in 

all cities with a population of 100,000 or more. Manufacturers may also meet this requirement 

by locating their authorized service centers so that owners do not have to drive more than 100 

miles to obtain warranty service (excluding several western states with high-altitude areas). In 

cases where affected customers are more than 100 miles from an authorized service center, the 

manufacturer or importer may alternatively meet warranty obligations by offering free shipping 

of defective products, sending a service technician to the owner’s location, or providing reimbursement for service at a local repair shop. 

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Frequently Asked Questions
 

Manufacturers or importers may in some circumstances look to retailers to help them meet the 

requirement to maintain an adequate network of authorized repair centers. In any case, you 

would do well to understand specifically how your suppliers intend to meet these requirements 

related to their warranty service. 

What are the bond requirements in the new regulations? 

In some cases, the Phase 3 regulations require manufacturers or importers of certified engines 

to post a bond to cover the cost of any potential compliance or enforcement actions under the 

Clean Air Act. Manufacturers or importers are exempted from the bond requirement if they 

have a specified level of fixed assets in the United States ($3 million, $6 million, or $10 million, 

depending on the type of company) and they have a specified number of authorized service centers to respond to warranty claims and product recalls (100 service centers or one for every 5,000 

engines, whichever is less). Manufacturers or importers that are not exempt will need to post 

a bond to cover the potential costs of an emission-related recall or penalties. Where a retailer 

is the importer of record for imported engines or equipment, the need for a bond may be determined based on the retailer’s service centers and level of fixed assets. 

EPA will require bonds of at least $500,000 before products may be introduced into U.S. commerce. The bond requirements apply for 2010 and later model year products that are introduced 

in U.S. commerce starting January 1, 2010. For more detailed information on the bond requirements, see our bond fact sheet at www.epa.gov/otaq/certdat2.htm. 

Where can I get more information? 

More information on these regulations can be found on our web site at www.epa.gov/otaq/equipld.htm. If you have questions, you may contact us at: 

U.S. Environmental Protection Agency
 

Office of Transportation and Air Quality
 

Compliance and Innovative Strategies Division
 

2000 Traverwood
 

Ann Arbor, MI 48108
 

Phone: 734.214.4343
 

Email: complianceinfo@epa.gov
 

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