[Federal Register Volume 71, Number 154 (Thursday, August 10, 2006)]
[Proposed Rules]
[Pages 45904-45962]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-6703]



[[Page 45903]]

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Part II





Consumer Product Safety Commission





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16 CFR Parts 1307, 1410, 1500 and 1515



Standards for All Terrain Vehicles and Ban of Three-Wheeled All Terrain 
Vehicles; Proposed Rule

Federal Register / Vol. 71, No. 154 / Thursday, August 10, 2006 / 
Proposed Rules

[[Page 45904]]


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CONSUMER PRODUCT SAFETY COMMISSION

16 CFR Parts 1307, 1410, 1500 and 1515


Standards for All Terrain Vehicles and Ban of Three-Wheeled All 
Terrain Vehicles; Notice of Proposed Rulemaking

AGENCY: Consumer Product Safety Commission.

ACTION: Notice of proposed rulemaking.

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SUMMARY: To address the unreasonable risks of injury and death 
associated with all terrain vehicles (``ATVs''), the Commission is 
proposing rules for adult and youth ATVs. The proposed rules include 
requirements concerning the mechanical operation of ATVs, requirements 
for providing safety information about operating ATVs (such as through 
labeling and training), and requirements for certification, testing and 
recordkeeping. The proposed standards would apply to adult single-rider 
and tandem ATVs and to youth ATVs. The Commission is also proposing a 
rule to ban three-wheeled ATVs. The proposed rules are issued under the 
authority of both the Consumer Product Safety Act (``CPSA'') and the 
Federal Hazardous Substances Act (``FHSA'').

DATES: Written comments in response to this document must be received 
by the Commission no later than October 24, 2006. Comments on elements 
of the proposed rule that, if issued in final form would constitute 
collection of information requirements under the Paperwork Reduction 
Act, may be filed with the Office of Management and Budget (``OMB'') 
and with the Commission. Comments will be received by OMB until October 
10, 2006.

ADDRESSES: Comments should be filed by email to cpsc-os.gov. Comments 
also may be filed by telefacsimile to (301) 504-0127 or they may be 
mailed or delivered, preferably in five copies, to the Office of the 
Secretary, U.S. Consumer Product Safety Commission, 4330 East West 
Highway, Bethesda, Maryland 20814-4408; telephone (301) 504-7923. 
Comments should be captioned ``ATV NPR.''
    Comments to OMB should be directed to the Desk Officer for the 
Consumer Product Safety Commission, Office of Information and 
Regulatory Affairs, OMB, Washington, DC 20503. The Commission asks 
commenters to provide copies of such comments to the Commission's 
Office of the Secretary, with a caption or cover letter identifying the 
materials as copies of comments submitted to OMB on the proposed 
collection of information requirements for the proposed ATV standard.

FOR FURTHER INFORMATION CONTACT: Elizabeth Leland, Project Manager, ATV 
Safety Review, Directorate for Economic Analysis, Consumer Product 
Safety Commission, 4330 East West Highway, Bethesda, Maryland 20814-
4408; telephone (301) 504-7706 or e-mail: <a href="/cdn-cgi/l/email-protection#187d747d7479767c587b686b7b367f776e"><span class="__cf_email__" data-cfemail="30555c555c515e5470534043531e575f46">[email protected]</span></a>.

SUPPLEMENTARY INFORMATION:

A. Background

    The Commission is proposing rules that will cover single-rider 
ATVs, tandem ATVs (intended for two people) and ATVs intended for 
children under 16 years of age.\1\ These proposed rules include 
proposed standards that specify mechanical requirements for ATVs and 
informational requirements so that ATV purchasers and operators will 
have safety information about ATVs. The Commission is also proposing to 
ban three-wheeled ATVs. The Commission believes that these proposed 
rules are necessary to address an unreasonable risk of injury and death 
associated with ATVs.
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    \1\ The Commission voted unanimously to issue the notice of 
proposed rulemaking with changes to address youth and adult ATV 
training (subsection (g)). Commissioner Nancy A. Nord and 
Commissioner Thomas H. Moore voted for additional changes not 
included in Chairman Stratton's vote, including additional 
instructions to staff and request for comments, a new subsection and 
modifying language in the preamble. Commissioners Nord and Moore 
issued statements which are available from the Commission's Office 
of the Secretary or from the Commission's Web site, http://www.cpsc.gov.
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    ATVs were first available in this country in the early 1970's, and 
became increasingly popular in the early 1980's. With their rise in 
popularity, the number of ATV-related incidents also rose. On May 31, 
1985, the Commission published an advance notice of proposed rulemaking 
(``ANPR'') stating the Commission's safety concerns and outlining 
options the Commission was considering to address ATV-related hazards. 
50 FR 23139. In 1987, the Commission filed a lawsuit under section 12 
of the CPSA against the five companies that were major ATV distributors 
at that time to declare ATVs an imminently hazardous consumer product, 
see 15 U.S.C. 2061(b)(1).\2\ The lawsuit was settled by Consent Decrees 
filed on April 28, 1988 that were effective for ten years.
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    \2\ The five distributors were American Honda Motor Co., Inc., 
American Suzuki Motor Corp., Polaris Industries, L.P., Yamaha Motor 
Corp., USA, and Kawasaki Motors Corp., USA. In 1996, Arctic Cat, 
Inc. began manufacturing ATVs and entered into an Agreement and 
Action Plan with the Commission in which the company agreed to take 
substantially the same actions as required under the Consent 
Decrees.
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1. The Consent Decrees

    In the Consent Decrees, the distributors agreed to: (1) Halt the 
distribution of three-wheel ATVs, (2) attempt ``in good faith'' to 
devise a voluntary performance standard satisfactory to the Commission; 
(3) label ATVs with four types of warnings, the language and format of 
which were specified in the Consent Decrees; (4) supplement existing 
owners manuals with safety text and illustrations specified in the 
Consent Decrees and to prepare new owners manuals with specified safety 
information; (5) provide point of purchase safety materials meeting 
guidelines specified by the Consent Decrees, including hangtags, a 
safety video, and other safety information; (6) and offer a rider 
training course to ATV purchasers and members of their immediate 
families at no cost. In addition, the Consent Decrees contained several 
media and marketing provisions.
    The distributors also agreed in the Consent Decrees that they would 
``represent affirmatively'' that ATVs with engine sizes between 70 and 
90 cc should be used only by those age 12 and older, and that ATVs with 
engine sizes larger than 90 cc should be used only by those 16 and 
older. Because distributors did not sell their products directly to 
consumers but through dealerships (which were not parties to the 
Consent Decrees), distributors agreed to ``use their best efforts to 
reasonably assure'' that ATVs would ``not be purchased by or for the 
use of'' anyone who did not meet the age restrictions. While the 
Consent Decrees were in effect, the distributors entered into 
agreements with the Commission and the Department of Justice agreeing 
to monitor their dealers to determine whether they were complying with 
the age recommendations and to terminate the franchises of dealers who 
repeatedly failed to provide the appropriate age recommendations.

2. Development of the Voluntary Standard for Single-Rider ATVs

    Industry had begun work on a voluntary standard before the Consent 
Decrees were in place. Distributors that were parties to the Decrees 
agreed to work in good faith to develop a voluntary standard that was 
satisfactory to the Commission within four months of the signing of the 
Consent Decrees. The five companies, working through the Specialty 
Vehicle Institute of America (``SVIA''), submitted a standard

[[Page 45905]]

for approval as an American National Standards Institute (``ANSI'') 
standard in December 1988. On January 13, 1989, the Commission 
published a notice in the Federal Register concluding that the 
voluntary standard was ``satisfactory'' to the Commission.\3\ 54 FR 
1407. The standard, known as ANSI/SVIA 1-2001, The American National 
Standard for Four Wheel All-Terrain Vehicles--Equipment, Configuration, 
and Performance Requirements, was first published in 1990, and was 
revised in 2001. The ANSI standard has requirements for the mechanical 
operation of ATVs, but does not contain any provisions concerning 
labeling, owners manuals or other information to be provided to the 
purchaser because such requirements were stated in the Consent Decrees 
that were in effect when the ANSI standard was developed. As discussed 
in section G.3, ANSI now has a draft voluntary standard for tandem 
ATVs.
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    \3\ In the FR notice, the Commission noted that it 
``specifically reserved its rights under the consent decrees to 
institute certain enforcement or rulemaking proceedings in the 
future.'' 54 FR 1407.
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3. ATV Action Plans/Letters of Undertaking

    The Consent Decrees expired in April 1998. The Commission entered 
into voluntary ``Action Plans,'' also known as ``Letters of 
Undertaking'' or ``LOUs,'' with eight major ATV distributors (the five 
who had been parties to the Consent Decrees, plus Arctic Cat, Inc., 
Bombardier, Inc. and Cannnondale Corporation, which no longer makes 
ATVs) See 63 FR 48199 (summarizing Action Plans).\4\ Except for 
Bombardier's, all of the Action Plans took effect in April 1998 at the 
expiration of the Consent Decrees. (Bombardier's took effect in 1999 
when the company began selling ATVs.) The companies agreed to continue 
many of the actions the Consent Decrees had required concerning the age 
recommendations, point of sale information (i.e., warning labels, 
owners manuals, hang tags, safety alerts, and safety video), 
advertising and promotional materials, training, and stopping 
distribution of three-wheeled ATVs.
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    \4\ These documents are available on CPSC's Web site at 
www.cpsc.gov/library/foia/foia98/fedreg/honda.pdf; www.cpsc.gov/library/foia/foia98/fedreg/suzuki.pdf; www.cpsc.gov/library/foia/foia98/fedreg/kawasaki.pdf; www.cpsc.gov/library/foia/foia98/fedreg/polaris; www.cpsc.gov/library/foia/foia98/fedreg/yamaha.pdf; 
www.cpsc.gov/library/foia/foia98/fedred/arctic.pdf; and 
www.cpsc.gov/library/foia/foia99/pubcom/bobard.pdf.
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4. Termination of Previous Rulemaking

    As mentioned above, the Commission issued an ANPR concerning ATVs 
in 1985, but chose to pursue legal action under section 12 of the CPSA 
instead of taking regulatory action. In 1991, the Commission terminated 
the rulemaking proceeding it had started with the 1985 ANPR. 56 FR 
47166. The Commission observed in its termination notice that, at the 
time of the termination, the Consent Decrees were in effect, the five 
ATV distributors had agreed to conduct monitoring of dealers' 
compliance with the Consent Decrees' provisions, and ATV-related 
injuries and deaths were declining. The ATV-related injury rate for the 
general population (per ATV) had dropped by about 50 percent between 
1985 and 1989, and ATV-related fatalities had declined from an 
estimated 347 in 1986 to about 258 in 1989. Id. At 47170.
    The Commission's termination of its rulemaking proceeding was 
challenged by the Consumer Federation of America (``CFA'') and U.S. 
Public Interest Research Group (``PIRG'') arguing that withdrawing the 
ANPR rather than pursuing a ban on the sale of new adult-size ATVs for 
use by children under 16 was arbitrary and capricious. The court upheld 
the Commission's decision. Consumer Federation of America v. Consumer 
Product Safety Commission, 990 F.2d 1298 (D.C. Cir. 1993). The court 
noted that it was reasonable for the Commission to determine the 
effectiveness of the Consent Decrees and monitoring activities before 
considering whether additional action would be necessary. Id. at 1306.

5. CFA's Petition and the Chairman's Memo

    In August 2002, CFA and eight other groups requested that the 
Commission take several actions regarding ATVs. CPSC docketed the 
portion of the request that met the Commission's docketing requirements 
in 16 CFR Sec.  1051.5(a). That request asked for a rule banning the 
sale of adult-size four wheel ATVs for the use of children under 16 
years old. The Commission solicited public comments on the petition. 67 
FR 64353 (2002). In 2003, the Commission held a public hearing in West 
Virginia, and the Chairman held hearings in Alaska and New Mexico to 
hear oral presentations from the public about ATVs. The staff prepared 
a briefing package analyzing the petition and recommending that the 
Commission deny the petition (available on the Commission's Web site at 
www.cpsc.gov/library/foia/foia05/brief/briefing.html). (After an 
initial vote on October 6, 2005 to defer a decision on the petition, 
the Commission voted 2-1 to deny the petition when it voted on July 12, 
2006 to issue this NPR. The statements issued by Commissioner Nord and 
Commissioner Moore, referenced in footnote 1, also discuss their votes 
on the petition.)
    On June 8, 2005, Chairman Hal Stratton delivered a memorandum to 
the staff asking the staff to review all ATV safety actions and make 
recommendations on a number of issues. The memo directed the staff to 
consider whether: (1) The current ATV voluntary standards are adequate 
in light of trends in ATV-related deaths and injuries; (2) the current 
ATV voluntary standards or other standards pertaining to ATVs should be 
adopted as mandatory standards by the Commission; and (3) other 
actions, including rulemaking, should be taken to enhance ATV safety. 
The memo also identified several specific issues for the staff to 
review, namely: (1) Pre-sale training/certification requirements; (2) 
enhanced warning labels; (3) formal notification of safety rules by 
dealers to buyers; (4) the addition of a youth ATV model appropriate 
for 14-year olds; (5) written notification of child injury data at the 
time of sale; (6) separate standards for vehicles designed for two 
riders; and (7) performance safety standards. The memo directed the 
staff to give particular attention to improving the safety of young 
riders.

6. 2005 ANPR

    On October 14, 2005, the Commission published an ANPR that began 
this proceeding. 70 FR 60031. The ANPR reviewed the history of the 
Commission's involvement with ATVs, summarized the ANSI/SVIA-1-2001 
standard, described regulatory and non-regulatory options to address 
ATV-related injuries and deaths, and requested comments from the 
public. Comments on the ANPR and the Commission's responses are 
discussed at section H.

B. Statutory Authority

    This proceeding is conducted pursuant to the Consumer Product 
Safety Act (``CPSA'') and the Federal Hazardous Substances Act 
(``FHSA''). All Terrain Vehicles are ``consumer products'' which can be 
regulated by the Commission under the authority of the CPSA. See 15 
U.S.C. 2052(a). However, the FHSA provides the Commission with 
regulatory authority over articles intended for use by children. See 15 
U.S.C. 1261(f)(1)(D). See also 15 U.S.C. 2079(d) (requiring, that the 
Commission regulate under the FHSA if the risk of injury at issue can 
be eliminated or sufficiently reduced by action under the FHSA unless 
the Commission finds by rule that it is in the public interest to

[[Page 45906]]

regulate under the CPSA). Thus, the Commission is proposing standards 
for adult 4-wheel ATVs and a ban of adult three-wheeled ATVs under the 
CPSA, and is proposing a standard for youth ATVs, which includes a ban 
of three-wheeled ATVs, under the FHSA.

1. The CPSA

    Section 7 of the CPSA authorizes the Commission to issue consumer 
product safety standards that consist of performance requirements and/
or requirements for warnings or instructions. Id. 2056(a). The 
requirements of the standard must be ``reasonably necessary to prevent 
or reduce an unreasonable risk of injury associated with such 
product.'' Id.
    Section 8 of the CPSA authorizes the Commission to issue a rule 
declaring a consumer product a ``banned hazardous product'' when the 
Commission finds that: The product is being, or will be, distributed in 
commerce; the product presents an unreasonable risk of injury; and no 
feasible consumer product safety standard would adequately protect the 
public from the risk of injury. Id. 2057.
    Section 9 of the CPSA specifies the procedure the Commission must 
follow to issue a consumer product safety standard or a ban under 
section 8. In accordance with section 9, the Commission commenced this 
rulemaking by issuing an ANPR identifying the product and the risk of 
injury, summarizing regulatory alternatives, and inviting comments or 
suggested standards from the public. Id. 2058(a). 70 FR 60031 (2005). 
The Commission considered the comments submitted in response to the 
ANPR, and has decided to issue these proposed rules and a preliminary 
regulatory analysis in accordance with section 9(c) of the CPSA. Next, 
the Commission will consider the comments received in response to the 
proposed rules and decide whether to issue final rules and a final 
regulatory analysis. 15 U.S.C. 2058(c)-(f).
    According to section 9(f)(1) of the CPSA, before promulgating a 
consumer product safety rule, the Commission must consider, and make 
appropriate findings to be included in the rule, concerning the 
following issues: (1) The degree and nature of the risk of injury that 
the rule is designed to eliminate or reduce; (2) the approximate number 
of consumer products subject to the rule; (3) the need of the public 
for the products subject to the rule and the probable effect the rule 
will have on utility, cost or availability of such products; and (4) 
means to achieve the objective of the rule while minimizing adverse 
effects on competition, manufacturing and commercial practices. Id. 
2058(f)(1).
    According to section 9(f)(3) of the CPSA, to issue a final rule, 
the Commission must find that the rule is ``reasonably necessary to 
eliminate or reduce an unreasonable risk of injury associated with such 
product'' and that issuing the rule is in the public interest. Id. 
2058(f)(3)(A) & (B). In addition, if a voluntary standard addressing 
the risk of injury has been adopted and implemented, the Commission 
must find that (1) the voluntary standard is not likely to eliminate or 
adequately reduce the risk of injury, or that (2) substantial 
compliance with the voluntary standard is unlikely. Id. 2058(f)(3)(D). 
The Commission also must find that expected benefits of the rule bear a 
reasonable relationship to its costs and that the rule imposes the 
least burdensome requirements that would adequately reduce the risk of 
injury. Id. 2058(f)(3)(E) & (F).
    Other provisions of the CPSA also authorize this rulemaking. 
Section 27(e) provides the Commission with authority to issue a rule 
requiring consumer product manufacturers to provide the Commission with 
such performance and technical data related to performance and safety 
as may be required to carry out the CPSA, and to give such performance 
and technical data to prospective and first purchasers. Id. 2076(e). 
This provision bolsters the Commission's authority under section 7 to 
require provision of safety-related information such as hangtags, 
instructional/owners manuals, safety videos, and training.
    Section 14 of the CPSA authorizes the Commission to issue a rule 
requiring certification that a product meets a consumer product safety 
standard. Id. 2063(c). Section 14 also authorizes the Commission to 
prescribe, by rule, reasonable testing programs for consumer products 
subject to a consumer product safety rule. Id. 2063(b).
    Finally, section 16 of the CPSA authorizes the Commission to issue 
rules requiring establishment and maintenance of records needed to 
implement the CPSA or to determine compliance with rules or orders 
issued under the CPSA. Id. 2065(b).

2. The FHSA

    The FHSA requires proceedings and findings similar to those 
required by the CPSA. Section 2(f)(1)(D) of the FHSA defines 
``hazardous substance'' to include any toy or other article intended 
for use by children that the Commission determines, by regulation, 
presents an electrical, mechanical, or thermal hazard. 15 U.S.C. 
1261(f)(1)(D). An article may present a mechanical hazard if its design 
or manufacture presents an unreasonable risk of personal injury or 
illness during normal use or when subjected to reasonably foreseeable 
damage or abuse. 15 U.S.C. 1261(s).
    Under section 2(q)(1)(A) of the FHSA, an article intended for use 
by children, which is a hazardous substance (as defined in the FHSA) 
accessible by a child, is banned. 15 U.S.C. 1261(q)(1)(A). Under this 
authority, the Commission can issue a rule stating that if a particular 
article intended for use by children does not meet requirements that 
the Commission specifies by rule, the item is banned. See Forester v. 
Consumer Product Safety Commission, 559 F.2d 774, 782 (D.C. Cir. 1977).
    Section 3(f) through 3(i) of the FHSA, 15 U.S.C. 1262(f)-(i), 
describes the procedures to promulgate a regulation determining that an 
article intended for children presents an electrical, mechanical, or 
thermal hazard. The procedures are the same as those required for a 
CPSA rule discussed above. 15 U.S.C. 1262(f) through (i).
    Before the Commission can issue this type of final rule under the 
FHSA, it must make many of the same findings necessary for a final CPSA 
rule: (1) if an applicable voluntary standard has been adopted and 
implemented, that compliance with the voluntary standard is not likely 
to adequately reduce the risk of injury, or compliance with the 
voluntary standard is not likely to be substantial; (2) that benefits 
expected from the regulation bear a reasonable relationship to its 
costs; and (3) that the regulation imposes the least burdensome 
alternative that would adequately reduce the risk of injury. Id. 
1261(i)(2).
    Section 10 of the FHSA authorizes the Commission to issue 
regulations ``for the efficient enforcement of'' the FHSA. Id. 1269(a). 
This provision gives the Commission authority to issue the requirements 
for certification, testing and recordkeeping in the youth ATV standard.

C. The Product

1. What's Covered by the Proposed Rules

    An ATV is a motorized vehicle with three or four broad, low 
pressure tires (less than 10 pounds per square inch) a seat designed to 
be straddled by the operator, handlebars for steering, and it is 
designed for off-road use. Most ATVs are designed for use by only one 
person. However, some companies have developed ATVs intended for use by 
the operator and one passenger. These

[[Page 45907]]

ATVs are referred to in this notice as tandem ATVs. The proposed rules 
the Commission is issuing cover three-wheeled ATVs, four-wheeled adult 
ATVs intended for single riders, four-wheeled adult tandem ATVs, and 
ATVs intended for children under 16 years of age (referred to here as 
youth ATVs).

2. Market and Sales Information

    The market for ATVs has increased greatly since they were first 
introduced over thirty years ago. The SVIA, an ATV trade association, 
estimated that in 2005, there were 6.9 million ATVs in use. The market 
is made of seven major distributors of ATVs (the companies that have 
entered into voluntary LOUs with the Commission and are represented by 
SVIA) and new entrants that import ATVs to the U.S. Sales by both 
groups have increased over the past decade. U.S. retail sales of ATVs 
by the seven major distributors have increased from an estimated 
293,000 ATVs sold in the U.S in 1995 to an estimated 921,000 ATVs sold 
in the U.S. in 2005. [4] \5\
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    \5\ Numbers in brackets refer to documents listed at the end of 
this notice. They are available from the Commission's Office of the 
Secretary (see ``Addresses'' section above) or from the Commission's 
web site (http://www.cpsc.gov/library/foia/foia.html)
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3. Imports

    Imports for the new entrants have increased markedly in recent 
years. In the late 1990's, imports comprised a small portion of the ATV 
market, near zero. In 2001, imports were estimated to account for about 
5 percent of total U.S. sales. By 2004, imports had increased to 10 
percent of the total U.S. market. [4]
    In 2006, Commission staff has identified over 80 importers of ATVs. 
Most of these firms import other products in addition to ATVs, such as 
powered scooters, dirt bikes, go-carts and snow mobiles. A recent trade 
report estimated that 100 to 150 Chinese manufacturers and an estimated 
22 Taiwanese firms exported ATVs worldwide in 2005. The trade report 
does not indicate what share of these firms'' output is exported to the 
U.S., but based on another trade analysis, Commission staff estimates 
that approximately 80,000 ATVs were exported from China to the U.S. in 
2004 and approximately 14,000 ATVs were exported from Taiwan in that 
year. There also appear to be imports from other countries in Europe 
and Southeast Asia (notably South Korea and Vietnam), but the staff 
does not have information on the extent of such imports. [4]
    Staff has observed that imported ATVs may lack some or all of the 
labeling specified in the LOUs. On such ATVs, labels may be unclear, 
translated incorrectly, or in a language other than English. Staff has 
also found that owner's manuals for imported ATVs may not provide 
information that could be understood by U.S. consumers (e.g., 
information that conflicts with labeling, measurements in unfamiliar 
measuring systems). [8]

4. Marketing

    The major distributors have traditionally marketed ATVs through 
franchises, either as free-standing locations or in conjunction with 
other related retail operations (such as motorcycle retailers). [4]
    Imported ATVs are sold in a variety of ways. They may be sold 
through distributors, including some of the major distributors. Foreign 
firms also market through U.S. importer/wholesalers who, in turn, may 
market the products to retailers (including such mass marketers as Pep 
Boys, Fleet and Farm, Wal-Mart, Sam's Club, and BJ's). Some importer/
suppliers also have dealer networks. [4]
    Imported ATVs also are offered for sale directly to consumers 
through import brokers who transship imported units to retailers (or 
consumers), often without taking physical control of the products. Web 
sites offering ATVs for sale are ubiquitous. A recent CPSC surveillance 
effort reported that there were literally hundreds of Web sites 
offering ATVs for sale, but the staff does not know the extent of 
actual purchases through the Internet. [4]

5. Consumer Prices

    The staff's 2004 market study observed that the major distributors' 
suggested retail price for ATVs ranged from about $2,000 to $8,000; the 
median suggested retail price was $5,150. As a subgroup, the price 
ranges for youth ATVs from these manufacturers was $1,800 to $2,500. 
The median suggested retail price for youth ATVs was about $2,300. [4]
    A recent staff Internet search of new ATVs with brand names other 
than those of the North American distributors, offered for sale by 
business entities, found youth ATV models ranging from about $320 to 
$950 each, with an average price of about $630. Larger ATVs ranged from 
about $600 to $2,400, with an average of $1,340. The cited prices 
included the cost of shipping to points within the lower 48 states from 
the dealers' U.S. warehouses. Thus, it appears that ATVs from 
importers/new entrants may have a significant price advantage over the 
major distributors' products. [4]

D. Risk of Injury

    As noted in the 2005 ANPR, the most recent annual report of ATV 
deaths and injuries that the Commission has issued is the 2004 Annual 
Report (which was issued in September 2005). According to that report, 
the Commission had reports of 6,494 ATV-related deaths that have 
occurred since 1982. Of these, 2,019 (31 percent of the total) were to 
children under 16 years of age and 845 (13 percent of the total) were 
to children under 12 years of age. According to the 2004 Annual Report, 
569 ATV-related deaths were reported to the Commission for 2003. Deaths 
reported to the Commission represent a minimum count of ATV-related 
deaths. To account for ATV-related deaths that are not reported to the 
Commission, the staff calculates an estimated number of ATV deaths. The 
most recent estimate of ATV-related deaths for 2003 is 740. [3]
    CPSC collects information on hospital emergency room treated 
injuries. The estimated number of ATV-related injuries treated in 
hospital emergency rooms in 2004 was 136,100. This is an increase of 
about eight percent over the 2003 estimate. The estimated number of 
injuries to children under 16 in 2004 was 44,700 (about 33 percent of 
the total estimated injuries for 2004). [3]
    The staff also estimates the risk of injury and the risk of death 
per 10,000 ATVs in use. According to the 2004 Annual Report, the 
estimated risk of injury for four-wheel ATVs for 2004 was 187.9 
injuries per 10,000 four-wheel ATVs in use. A recent high in the 
estimated risk of injury occurred at 200.9 in 2001. The estimated risk 
of death for four-wheel ATVs in 2003 was 1.1 deaths per 10,000 four-
wheel ATVs in use. In 1999, the earliest comparable year due to changes 
in data collection, the estimated risk of death was 1.4 deaths per 
10,000 four-wheel ATVs in use. [3]
    Based on injury and exposure studies conducted in 1997 and, most 
recently, in 2001, the estimated number of ATV-related injuries treated 
in hospital emergency rooms rose from 52,800 to 110,100 (a 109 percent 
increase). Injuries to children under 16 rose 60 percent. During these 
years, the estimated number of ATV drivers rose from 12 to 16.3 million 
(a 36 percent increase); the estimated number of driving hours rose 
from 1,580 to 2,360 million (a 50 percent increase); and the estimated 
number of ATVs rose from 4 to 5.6 million (a 40 percent increase). The 
chief finding of the 2001 Report was that increases in the estimated

[[Page 45908]]

numbers of drivers, driving hours and vehicles did not account for all 
of the increase in the estimated number of ATV injuries. [3]

E. Children and ATVs

    During its involvement with ATVs, the Commission has been 
particularly concerned with reducing the ATV-related deaths and 
injuries suffered by children. The Consent Decrees established age 
guidelines, which the major distributors continue through their Letters 
of Undertaking. In the Consent Decrees, the major distributors agreed 
to represent and to make their best efforts to see that their dealers 
also abided by age recommendations in their dealings with purchasers. 
These age recommendations were based on the ATV's engine size (measured 
as cubic centimeter (``cc'') displacement). They established that an 
ATV with an engine that is larger than 90 cc should be used only by 
those 16 years of age and older, and that an ATV with an engine size 
between 70 and 90 cc should be used only by those 12 years of age and 
older. Thus, ATVs with engine sizes larger than 90 cc have been 
considered adult ATVs.
    Yet, in spite of these efforts through the Consent Decrees and 
LOUs, recent Commission staff studies have shown that many children 
ride adult ATVs, and that injury rates are climbing. The Commission's 
injury and exposure studies indicate that injuries to children under 
age 16 rose 60 percent from 1997 to 2001. Although the number of 
children riding ATVs also rose during this period, that increase does 
not fully account for the rise in incidents.
    The age delineations in the Consent Decrees made no mention of 
speed limits. However, the ANSI/SVIA-1-2001 voluntary standard does 
categorize youth ATVs by reference to speed limits. The voluntary 
standard requires that Y-6 ATVs (intended for ages 6-11) have devices 
to limit their speed to not more than 10 mph and allow upward 
adjustment to a maximum unrestricted speed of 15 mph. Y-12 ATVs 
(intended for ages 12-16) have similar requirements to limit speed to 
not more than 15 mph and allow upward adjustment to a maximum 
unrestricted speed of 30 mph.
    The Commission is proposing to change the categorization of ATVs 
based on engine size that the Consent Decrees established. Instead the 
Commission proposes three categories of youth ATVs based on maximum 
speed of the ATV. The 90cc policy is design restrictive; engine size 
does not necessarily restrict ATV size, nor does it necessarily 
regulate maximum unrestricted speed; staff cannot make assumptions 
(e.g., speed, power, weight, or size) about all ATVs of a certain 
engine size based solely on the engine displacement values; and the 
current voluntary standard for ATVs categorizes youth ATVs by speed 
limiting characteristics, not engine size.
    The Commission's ESHF staff considered several sources to determine 
appropriate categories of ATVs. Based on developmental characteristics, 
children are typically grouped as: age 5 through 7 or 8; age 8 or 9 
through 11 or 12; age 12 through 15; and age 16 and up. Children, of 
course, do not all develop at the same rate, but these groupings are 
appropriate for most.
    The CPSC staff's Age Determination Guidelines, state that children 
age 6 through 8 years can operate slow-moving motorized vehicles, and 
that children age 9 through 12 years can operate motorized vehicles 
with gear shifting up to 10 miles per hour. The guidelines state a 
clear demarcation with the teenage years: ``faster [than 10 mph] moving 
motorized [vehicles] are generally not appropriate even for 12-year-
olds because of the difficulty associated with both balancing and 
steering the vehicle while moving.'' Since ATVs require significant 
balance and control, it seems most appropriate to have an age division 
around the late pre-teen/early teenage years. Based on youth attributes 
described in the Age Determination Guidelines, reasonable youth ATV 
categories would be Y-6 (``slow-moving,'' no gear shifting), Y-9 
(speeds 5-15 mph, gear shifting acceptable) and Y-13 (since the Age 
Determination Guidelines stop at age 12, no specifications can be made 
based on them). Additionally, the Age Determination Guidelines mention 
that 9-to 12-year-olds are generally ``aware of traffic laws, but they 
are very likely to engage in high-risk behaviors like riding in traffic 
and stunt riding.''
    In addition to cognitive development, appropriate age groupings 
should account for children's physical size. Analysis of children's 
physical growth suggests groupings with breaks roughly at around ages 8 
to 9 and 11 to 13, acknowledging that growth will be rapid between ages 
11 and 16 for both males and females.
    Groupings set out in the Age Determination Guidelines can be used 
to delineate three categories for youth ATVs based on maximum speed of 
the ATV. For the youngest category, the Age Determination Guidelines 
indicate that the ATV should be ``slow-moving.'' One method of defining 
``slow moving'' could be slow enough to allow parents to walk or jog 
with the ATV to facilitate supervision. Under this premise, it would be 
reasonable to set the maximum speed for the slowest youth ATV between 
the jogging speed and running speed. Research indicates that is about 9 
to 10 mph. Based on the Age Determination Guidelines, the next category 
should be roughly 10 to 15 mph. The Age Determination Guidelines do not 
extend past 12 years of age, but it is reasonable to assume that the 
third category could be faster than 10 mph and that older, more 
experienced teens may be able to handle speeds higher than 10 to 15 
mph. The Commission's ESHF staff has found no scientific research to 
support either raising or lowering the current 30 mph speed limit for 
teens. Thus, 30 mph is a reasonable top speed for the third category of 
youth ATVs.

                  Proposed ATV Models and Intended Ages
------------------------------------------------------------------------
           ATV Model age (years)                     Speed range
------------------------------------------------------------------------
Junior 6 +................................  10 mph or less.
Pre-teen 9 +..............................  10*-15 mph.
Teen 12 +.................................  15*-30 mph.
Adult 16 +................................  Not restricted.
------------------------------------------------------------------------
* With speed limiter.

    Although the weight of the ATV can play a role in the suitability 
of an ATV for a youth, the Commission does not have sufficient 
information to set an appropriate weight for youth ATVs.
    Frame size also plays a role in the appropriateness of an ATV for a 
child. Several commenters have expressed frustration with the current 
ATVs available for children because the smaller frames of these ATVs 
will not fit some 13 to 15 year olds. Establishing categories based on 
speed limit rather than engine size may encourage manufacturers to 
offer ATVs with larger frames (and larger engines), but with limited 
maximum speeds that would be appropriate for children.
    The availability of such youth ATVs may shift a number of young 
riders to youth ATVs rather than larger adult models. This would 
increase safety. Commission analysis indicates that the injury rate for 
ATV riders under the age of 16 who are driving adult ATVs is about 
twice the expected injury rate of those who are driving age-appropriate 
ATVs. Moreover, these categories may enable more children to receive 
formal ATV training. The largest and best established formal training 
programs will not train children under age 16 unless they are riding an 
appropriate youth model. [8]
    The proposed rule also requires that youth ATVs must have automatic

[[Page 45909]]

transmissions. Based on the Age Determination Guidelines, ESHF staff 
believes that manual transmission ATVs are inappropriate for children 
under 9 years of age. Due to the high cognitive load required to 
operate complex motorized vehicles, HF staff believes it best to allow 
all children below 16 years of age to master driving skills before 
learning to coordinate gear shifting with the many other skills 
involved when riding.

F. Training

    In the 1980s, Commission staff worked with the major ATV 
distributors to develop the predecessor to the current ATV training 
course that is offered through the ATV Safety Institute (``ASI''), the 
non-profit training division of the SVIA. Training is important because 
operating an ATV seems deceptively easy; steering controls are similar 
to a bicycle, and the throttle is generally simply lever-operated with 
the thumb. ATVs are, however, high-speed motorized vehicles that 
require repeated practice to drive proficiently. Operating an ATV is 
somewhat comparable to operating other complex motorized vehicles. ATVs 
have top speeds approaching that of automobiles on highways, yet have 
as little protection from oncoming objects as a motorcycle. Even at 
relatively low speeds (20-30 mph) they can take as much skill to 
operate as an automobile because the operator requires: (1) Situational 
awareness to negotiate unpaved terrain with both eye-level hazards 
(trees, other ATVs) and trail-level hazards (ditches, rocks, hidden 
holes); and (2) quick judgments including not only steering, speed, and 
braking, but also terrain suitability, weight shifting and other active 
riding behaviors. [12]
    Formal, hands-on training teaches drivers how the ATV responds in 
situations that are typically encountered. ATV training may act as a 
surrogate for experience because it exposes new ATV drivers to 
situations they will encounter when riding off-road and teaches them 
the proper driving behavior to navigate those situations.[12]
    All of the major distributors offer training through the ASI. In 
spite of the offers of free training and other incentives, relatively 
few ATV riders take formal safety training. According to a 2004 study 
by SVIA, only about 7 percent of new purchasers actually took training. 
The newer entrants to the market do not offer any training with their 
ATVs. These manufacturers account for about 10 percent of domestic ATV 
sales, but their share of the market has been increasing. [4 & 12]
    The Commission is proposing to require that manufacturers provide 
purchasers with a certificate for free training for the purchaser and 
any member of his/her immediate family who meets the age 
recommendations for the ATV. The benefits of training to new ATV 
purchasers could be substantial. As stated above, training may act as a 
surrogate for experience. The greatest risk of injury occurs with 
inexperienced riders. Staff's analysis of ATV incident data has found a 
strong inverse relationship between driving experience and the risk of 
hospital emergency department-treated injury. The analysis indicates 
that risk in the first year of riding was about 65 percent higher than 
the risk in the second year, and about twice the risk of the third 
year. [8]
    The proposed rules outline the basic content that a free training 
course must have. This curriculum is based on CPSC safety messages and 
the ``ATV Rider's Course Outline'' from the Consent Decrees. In 
addition to instruction about the basic maneuvers that are necessary to 
operate an ATV safely, the course must include instruction about the 
risks of ATV-related deaths and injuries, the importance of safety 
equipment, and the importance of avoiding the warned against behaviors 
that are stated in the general warning label (such as children not 
riding ATVs, not driving on paved roads, etc.). [12]
    In many ways, training is essentially an extension of the warning 
labels and owners instruction manuals. The training course provides the 
rider with a fuller understanding of the risks involved in riding an 
ATV and of the actions he/she can take to avoid or reduce these risks.

G. Description of Proposed Standards

1. General

    The proposed standards draw from the ANSI/SVIA 1-2001 standard for 
four-wheel ATVs (for single rider ATVs), the draft voluntary standard 
for tandem ATVs, the Consent Decrees, and the LOUs. The Commission has 
pulled together elements from all of these sources to construct 
proposed standards with the goal of reducing ATV-related deaths and 
injuries. Both the adult and youth standards require that ATVs meet 
requirements for the mechanical operation of the ATV, informational/
point of sale requirements, and certification and recordkeeping 
requirements.
    The Commission believes that the reduction of deaths and injuries 
from both adult and youth ATVs will require the active participation 
and cooperation of the ATV industry and we encourage their 
recommendations for additional safety provisions to the proposed 
mandatory standards. The creation of viable, safer youth ATVs will be 
an important component of any final rule.

2. Requirements for Adult Single Rider ATVs

a. Definitions
    All terrain vehicle or ATV is defined as ``a three-or four-wheeled 
motorized vehicle that travels on low pressure tires, has a seat 
designed to be straddled by the operator (and a passenger if provision 
is made for carrying a passenger), has handlebars for steering, and is 
intended for off-road use on non-paved surfaces.'' The definition of 
ATV states that for purposes of this part, an ATV is one that is 
intended for an operator 16 years of age or older. The term 
``manufacturer'' is defined to include an importer for purposes of the 
ATV standards. Many of the definitions in the proposed standard are 
derived from the ANSI/SVIA-1-2001 standard.
b. Equipment and Configuration Requirements
    General. Section 1410.5 proposes requirements for various aspects 
of the mechanical operation of adult single-rider ATVs. Many of these 
requirements are substantially the same as requirements of the ANSI/
SVIA-1-2001 voluntary standard. However, the CPSA requires that 
consumer product safety standards be stated as performance rather than 
design standards. Thus, some requirements that were stated in the ANSI 
standard in terms of design have been modified to establish performance 
requirements.
    The provisions of this section ensure that there will be uniformity 
in the basic operation of ATVs from one make or model to another. 
Proposed configuration requirements for vehicle controls, indicators, 
and gearing ensure the standardized instrumentation and safety features 
of current ATVs. It is important that the location and method of 
operation of safety related controls, such as brake controls and engine 
stop switch, be standardized to reduce operator confusion. The 
specified requirements are consistent with current ATV practice which 
is based on the National Highway Traffic Safety Administration 
requirements for motorcycle control location and operation requirements 
(49 CFR 571.123). [5]
    Operator Foot Environment. Proposed performance requirements for 
operator foot environment ensure adequate vehicle configuration that 
reduces inadvertent contact between the

[[Page 45910]]

operator's feet and the ground or the ATV's rear wheels. Operator foot 
contact with the ground or the ATV's rear wheels has been identified as 
a hazard pattern among ATV-related injuries. Differing zones are 
defined for ATVs equipped with footpegs (designed to support the 
operator's foot with a relatively narrow bar), and footboards (designed 
to support the operator's foot with a platform-type structure). [5]
    Lighting. Proposed lighting requirements mandate headlamps, tail 
lamps, and stop lamps on all adult ATVs. The lighting equipment must 
conform to applicable referenced standards. This provision was adopted 
from the ANSI/SVIA-1-2001 standard. Nighttime riding can be expected 
with adult ATVs and requirements for industry standard headlamps will 
ensure minimum illumination for night-time or safer operation of the 
vehicle. [5 & 7]
    VIN or PIN. The proposed standard requires that each ATV have 
assigned a unique vehicle identification number (``VIN'') in accordance 
with 49 CFR Part 565 or a product identification number (``PIN'') in 
accordance with Recreation Off-Road Vehicle Product Identification 
Numbering System, SAE International Consortium Standard, ICS-1000, 
issued 2004-9. If the ATV has a VIN number, the characters in location 
4 and 5 of the number must be ``A'' and ``T'', respectively to identify 
the vehicle as an ATV and an off road vehicle. Having a VIN or PIN on 
every ATV can be helpful if an ATV is the subject of a corrective 
action. The VIN or PIN should also permit tracing the ATV back to its 
retailer to determine compliance with applicable requirements.
    Maximum speed capability and brake requirements. Procedures are 
outlined for the measurement of a loaded vehicle's maximum speed. The 
maximum speed is used to determine the brake test speed and conformance 
to the youth ATV speed restriction requirements. [5]
    The proposed standard establishes performance tests for service 
brakes and parking brakes. Reliable brake performance is critical to 
the safety of an ATV operator. The requirements specify a braking 
deceleration of 5.88m/s\2\ (0.6g) or greater for service brakes and 
brake holding power up to a 30 percent grade for parking brakes. [5]
    These proposed requirements establish minimum brake performance to 
ensure that brake systems are adequate for stopping the vehicle and 
holding the vehicle on an incline. The specified requirements are 
consistent with current ANSI/SVIA-1-2001 voluntary standard 
requirements which are patterned after those in the Federal Motor 
Vehicle Safety Standard No. 122 Motorcycle Brake Systems (49 CFR 
571.122).
    The proposed requirements deviate from the current ANSI/SVIA-1-2001 
requirements in terms of the vehicle test weight used to perform 
service brake tests. The current voluntary standard specifies the test 
weight as the unloaded vehicle weight plus 91 kg (200 lb) if the 
vehicle load capacity is specified as 91 kg (200 lb) or more. The 
proposed requirements specify the test weight as the unloaded vehicle 
weight plus the vehicle load capacity. This will ensure that larger 
vehicles with larger load capacities do not have a less stringent brake 
requirement (by using a comparatively lower test weight during brake 
tests).
    Stability requirements. The standard proposes the same pitch 
stability requirements as the ANSI/SVIA-1-2001 voluntary standard. The 
pitch stability for single-rider ATVs is based on the longitudinal tilt 
angle of a vehicle without an operator. A vehicle's longitudinal tilt 
angle can be calculated by measuring the vehicle's front and rear 
weights and balancing angle (angle at which vehicle is balanced on its 
rear wheels) or it can be measured on a tilt table. The ANSI/SVIA-1-
2001 voluntary standard requires calculation of a vehicle's 
longitudinal pitch angle which must be 45 degrees or higher to meet the 
pitch stability requirement. The proposed requirements adopt this test 
procedure and minimum tilt angle for single-rider ATVs, and add a tilt 
table option to address larger ATVs whose weights could make it unsafe 
to follow the voluntary standard procedures for measuring and 
calculating the pitch stability.
    The proposed pitch stability requirements deviate from ANSI/SVIA-1-
2001 in terms of the test conditions of the vehicle. The current 
voluntary standard specifies that the vehicle tires be inflated to the 
ATV manufacturer's lowest recommended pressure. The proposed 
requirements specify that the tires be inflated to the ATV 
manufacturer's highest recommended pressure. This will ensure that the 
vehicle configuration with the highest expected center of gravity will 
be tested.
    Over the years, the Commission has analyzed the issue of ATV 
stability. Because ATVs are rider-active vehicles (that is, their 
performance is affected by the rider's movements), it is difficult to 
evaluate an ATV's actual stability. A satisfactory static test has been 
developed to measure an ATV's pitch stability (movement from front to 
back). At this point in time, the industry has not been able to develop 
a satisfactory test of lateral stability (movement from side to side). 
Thus, the ANSI/SVIA-1-2001 standard has a requirement for pitch 
stability, but not for lateral stability. The Commission's proposed 
standard likewise contains requirements only for pitch stability. 
However, the Commission encourages the industry to continue to pursue 
an accurate and reliable test for lateral stability.
c. Information/Point of Sale Requirements
    The proposed standard mandates by rule many similar information/
point of sale requirements as were specified in the Consent Decrees and 
subsequently continued in the LOUs. This subpart of the proposed 
standard contains requirements for labeling, hangtags, age 
acknowledgment forms, instructional/owner's manuals, a safety video, 
and instructional training.
    Warning labels. The Consent Decrees specified four labels to appear 
on all ATVs: (1) a general warning label, (2) an age recommendation 
label, (3) a passenger warning label, and (4) a tire pressure and 
overloading warning label. Most ATVs include these or substantially 
equivalent labels as well as other discretionary warning labels. 
However, imported ATVs may not have all of these warning labels, the 
labels may be unclear or they may not be in English.
    The proposed rule requires labels that are similar to those 
required by the Consent Decrees, but allows more flexibility. The 
warning labels have evolved since the Consent Decrees, and the major 
distributors currently use their own copyrighted labels that present 
substantially the same warnings. In the case of the general warning 
label and the passenger label, the distributors sought Commission 
approval for new labels that included pictograms and somewhat different 
wording than had been specified in the Consent Decrees.
    Like the Consent Decrees, the proposed rule requires a general 
warning label, an age recommendation warning label, a passenger warning 
label and a tire pressure/overloading label (or labels). All of the 
warning labels must display the safety alert symbol in accordance with 
section 4.1 of ANSI Z535.4-2002, American National Standard for Product 
Safety Signs and Labels, and the word ``WARNING'' in capital letters. 
The format for all of the labels must be consistent with the ANSI 
Z535.4-2002 standard. The proposed rule requires the same location for 
the single-rider ATVs as was required by the Consent Decrees. The 
proposed rule

[[Page 45911]]

requires the warning labels to be in English.
    The proposed rule specifies statements for these warning labels and 
requires that the warning labels provide these, or substantially 
equivalent, statements. This should enable provision of the vital 
safety information but allow some flexibility to manufacturers who are 
using labels that are consistent with, but not identical to, the 
Consent Decree labels.
    General warning label. The proposed rule requires a general warning 
label that contains the same statements, or substantially equivalent 
ones, as the general warning label required by the Consent Decrees. 
This label warns that ATVs can be hazardous to operate and that severe 
injury or death can result if the operator does not follow instructions 
to: Read the owners manual and all labels; never operate the ATV 
without proper instruction; never carry a passenger; never operate the 
ATV on paved surfaces or on public roads; always wear a helmet and 
protective clothing; never consume alcohol or drugs before or while 
operating ATVs; never operate the ATV at excessive speeds; and never 
attempt wheelies, jumps or other stunts. The proposed rule states that 
the warning statements may be arranged on the label to group the 
prohibited actions together and the required actions together. This is 
how many of the current general warning labels are arranged. The 
location is to be the same as specified in the Consent Decrees.
    Age recommendation warning labels. The content of the age 
recommendation warning labels differs from the Consent Decree labels. 
The Commission's Human Factors staff concluded that the Consent Decree 
age labels for adult ATVs are vague about the nature of the hazard they 
are warning against and may not be as persuasive as they could be. The 
primary reasons for the age recommendations are children's lack of 
experience and, particularly, their immature judgment. If the reasons 
for the age recommendations are not explicitly described in the label, 
parents may rationalize why their children are exceptions to the 
recommendations. Thus, the proposed rule requires the following, or 
substantially similar statement: ``Even youth with ATV experience have 
immature judgment and should never drive an adult ATV.'' The proposed 
age recommendation label also differs from the Consent Decree label by 
directing the message to the supervising parents rather than to the 
child, who is likely to ignore it. Thus, the proposed rule requires the 
following, or substantially equivalent, statement: ``Letting children 
under the age of 16 operate this ATV increases their risk of severe 
injury or death. NEVER let children under age 16 operate this ATV.'' 
[10]
    Passenger warning label. The proposed rule specifies different 
wording for the passenger warning label than the Consent Decrees 
required. The major distributors are currently using a passenger label 
that differs from the Consent Decrees. As with the general warning 
label, they asked for and received approval from the Commission for a 
different passenger label. Both the current label and the Consent 
Decree label identify that the hazard caused by a passenger is that the 
ATV may go out of control, but the labels do not state how the presence 
of a passenger can lead to loss of control. To address this, the 
proposed standard requires the following, or substantially similar, 
statement: ``Passengers can affect ATV balance and steering. The 
resulting loss of control can cause SEVERE INJURY or DEATH.'' The 
proposed standard also requires the statement (or a substantially 
similar one): ``NEVER ride on this ATV as a passenger.'' The proposed 
language inserts the phrase ``on this ATV'' because, with the 
development of tandem ATVs, some ATVs are intended to carry passengers. 
[10]
    Tire pressure and overloading label(s). Like the Consent Decrees, 
the proposed standard allows the option of having the tire pressure 
warning and the overloading warning in separate warning labels or 
combined into one label. The proposed content of the label(s) is the 
same as specified in the Consent Decrees.
    Label durability. The proposed rule requires that all of the 
warning labels must meet the durability requirements of Underwriters 
Laboratories Standard UL 969, fourth edition, October 3, 1995. This 
should ensure that the labels will remain on the ATVs and legible for 
operators to see.
    Discretionary warning labels. The proposed standard allows 
manufacturers to display additional warning labels on ATVs so long as 
they are consistent with ANSI Z535.4-2002, American National Standard 
for Product Safety Signs and Labels ANSI Z535.4 (2002) and are affixed 
to the ATV in an appropriate location that does not detract from the 
required warning labels. [10]
    Hangtags. Like the Consent Decrees, the proposed standard requires 
that certain hangtags be present on the ATV at the point of sale. The 
hangtags must provide the contents of the general warning label, a 
statement that the hangtag is not to be removed before sale, and a 
statement directing the purchaser to check with the ATV dealer about 
state or local laws concerning ATVs. The hangtags must be conspicuous 
and must be at least 4 by 6 inches.
    Age acknowledgement form. The proposed rule requires that before 
the sales transaction, the ATV retailer must provide the purchaser with 
an age acknowledgement form, the content of which is specified in the 
proposed rule. The form tells the purchaser that the ATV he/she is 
considering is for adults and that children have immature judgment and 
should never drive an adult ATV. The form states the number of children 
who have died and who have been injured on adult ATVS in each year 
since 2001 and informs the purchaser that youth ATVs are available. The 
retailer must require the purchaser to sign the acknowledgement form 
before the sales transaction; must provide the purchaser and 
manufacturer with a copy of the form; and must maintain the original 
for at least five years. The signed forms must be available for 
Commission inspection upon request.
    The purpose of the age acknowledgment form is to ensure that 
everyone who purchases an adult ATV is aware that it is not intended to 
be ridden by anyone under 16 and that children can be severely injured 
or die when riding an adult ATV. The Commission has received comments 
from parents indicating that they were unaware of the hazard adult ATVs 
pose for children until their child became injured or killed while 
riding one. Even with the current warning labels on ATVs stating this 
hazard and with the LOU provisions that voluntarily continue the major 
distributors' agreement to follow the age guidelines of the Consent 
Decrees, apparently some consumers purchase adult ATVs without knowing 
that a child should not ride them. Requiring purchasers to sign a form 
which states the age recommendations will inform the purchaser of the 
risks to children riding adult ATVs and could influence them to 
prohibit children under 16 from riding one. [8 & 11]
    Instructional/owners manuals. Like the Consent Decrees, the 
proposed rule requires that ATVs be provided with an instructional/
owners manual. The proposed rule continues many of the Consent Decrees' 
requirements for the manuals. They must be written to convey 
information about the safe operation and maintenance of the ATV, be 
written plainly in language that is comprehensible to a 7th grader, and 
be consistent with other required safety messages. The basic content of 
the

[[Page 45912]]

manual is specified much as it was in the Consent Decrees. The proposed 
rule adds a requirement that the manuals be in English.
    An introductory safety section must contain certain specified 
safety messages. This section concludes with CPSC's website and phone 
number, and the manufacturer must provide a contact number for the 
purchaser to obtain further ATV safety information. The manufacturer 
also must provide a phone number or email address for the owner to 
report any safety issues (this could be the same phone number). The 
section of the manual that describes proper operating procedures must 
include narrative text identifying potential hazards, possible 
consequences, and describing how to avoid or reduce the risk of those 
hazards. This text must also include relevant warning statements 
required by the standard. The manufacturer must retain a copy of the 
manual for each model for 5 years and make it available for CPSC 
inspection upon request.
    Safety Video. The proposed rule requires the retailer to provide 
the purchaser with a safety video before the sales transaction is 
completed. The requirements for the safety video are substantially the 
same as those set out in the Consent Decrees. The video is to include 
the contents of the hang tag, the concept of knowing one's limitations 
when operating an ATV, the importance of gradually progressing from 
basic to more complex maneuvers, and the importance of remaining alert 
while operating the ATV. The video also must include ATV-related death 
and injury statistics, both for all riders and for children under the 
age of 16, which can be stated in rolling five-year averages. These 
must be updated when there is a statistically significant change in the 
statistics. The video must be made available to the purchaser in at 
least one commonly used format, such as VHS or DVD. The manufacturer 
must retain a copy of the video for 5 years and make it available for 
CPSC inspection upon request.
    The Commission believes that providing the safety video is an 
extension of the safety messages specified in the warning labels and 
the instructional/owners manual. The video provides safety information 
through a readily accessible medium. It can impart more detailed safety 
information than a warning label can. A purchaser might be more 
inclined to watch a safety video shortly after purchasing an ATV than 
he/she would be to read the entire owner's manual with all of its 
safety information.
    Instructional Training. The proposed rule requires ATV 
manufacturers to provide to purchasers a training course (at no cost) 
for the purchaser and each member of the purchaser's immediate family 
who meets the minimum age recommendation for the ATV that is being 
purchased. At the time of sale, the retailer must deliver to the 
purchaser a certificate which is valid for attendance at a training 
course that meets the requirements in the proposed rule. The retailer 
also must have the purchaser sign a form indicating that ATVs are 
complex vehicles to drive and that he/she is aware that free training 
is available. The retailer must retain the original of the training 
disclosure form and provide the purchaser and the manufacturer each 
with a copy.
    As discussed above, the Commission believes that training can play 
an important role in reducing ATV-related deaths and injuries. The 
curriculum specified in the proposed rule is similar to training that 
is currently offered by SVIA. It includes instruction on the maneuvers 
necessary for operation of the ATV and information about behaviors to 
avoid in order to reduce the rider's risk of injury. The course must 
include classroom, field and trail activities. The course content must 
include information on ATV-related deaths and injuries; the role of 
safety equipment; rider responsibilities and safety messages; 
identifying displays and controls on the ATV itself; recognizing one's 
limitations while driving; evaluating a variety of situations to 
predict a proper course of action, including terrain obstacles and 
behavior of other riders; demonstrating successful learning of riding 
skills, including starting, stopping, and negotiating turns of all 
types; stopping in a turn; emergency braking; negotiating full-track 
and partial-track obstacles; driving up hills; and combining skills 
together in a non-predictable manner. No course duration is specified, 
but it must be sufficient to cover all of the topics outlined in the 
proposed rule and to allow for students to individually master the 
riding skills covered in the course and to allow for written and riding 
skills tests.[12]
    Although no specific time or location is stated, the course must be 
provided within a reasonable time from the date of purchase of the ATV 
and a reasonable distance from the place the ATV is purchased.
    Recordkeeping, testing and certification. The proposed rule 
requires manufacturers to provide near the VIN or PIN number a 
statement certifying that the ATV meets the requirements of the 
standard. The manufacturer must perform, or cause to be performed, 
tests sufficient to demonstrate on an objectively reasonable basis that 
each ATV produced by the manufacturer meets the mechanical operation 
requirements of the proposed rule (sections 1410.5 through 1410.9). 
(This requirement is not intended to mandate testing of every ATV of a 
particular model.)
    The proposed rule requires ATV manufacturers (including importers) 
to keep records sufficient to show that each ATV the manufacturer 
produces meets the requirements of the proposed standard. The records 
must be in English and must be kept at a U.S. location for five years 
after the manufacturer ceases production of that model. Retailers must 
keep records of the age recommendations acknowledgment form and the 
training acknowledgment form for five years after the purchase.

3. Requirements for Tandem ATVs

a. Background
    Tandem ATVs are a relatively recent development. The Consent 
Decrees did not contemplate ATVs designed for more than one rider. The 
ANSI/SVIA-1-2001 standard does not cover tandem ATVs. However, in 2002 
the International 2-Up ATV Manufacturers Association (I2AMA) began 
working on a voluntary standard for tandems, which subsequently became 
a draft ANSI voluntary standard, ANSI/I2AMA-1-XXXX, Draft American 
National Standard for Four Wheel, Two Person, All-Terrain Vehicles 
Equipment, Configuration, Performance, Safety Information and Training 
Requirements. Recently, I2AMA agreed to suspend its development of a 
tandem standard and will instead work with SVIA to include tandem ATVs 
in the existing ANSI/SVIA standard. [5]
    The Commission covers tandem ATVs in its proposed standard for 
adult ATVs. Most of the requirements for single rider ATVs also apply 
to tandems. A few provisions in the equipment and configuration 
requirements and the information requirements are different in order to 
make them appropriate for tandems. The certification, testing and 
recordkeeping requirements specified above also apply to tandem ATVs.
b. Equipment and Configuration Requirements
    Most of the proposed equipment and configuration requirements for 
single rider ATVs also apply to tandem ATVs. The proposed standard for 
tandems states requirements for the passenger environment, and modifies 
the single

[[Page 45913]]

rider requirements for the operator and passenger foot environment to 
suit tandem ATVs. The proposed tandem standard also adds requirements 
for passenger handholds. Two headlights and two tail lights are 
required for tandem ATVs that are wider than 1500 mm. These proposed 
requirements are based on the draft voluntary standard for tandem ATVs 
and additional information provided by letter from the SVIA of May 19, 
2006. [5]
    The proposed pitch stability requirements are different for tandem 
ATVs than for single rider ATVs. The pitch stability for single rider 
ATVs is based on the longitudinal tilt angle of a vehicle without an 
operator. However, the pitch stability for tandem ATVs is based on the 
tilt angle of a vehicle with an operator and passenger (simulated 
loads). The proposed requirements for tandem ATVs adopt the tilt table 
method and minimum tilt angle specified in the ANSI draft standard for 
tandem ATVs. A tandem ATV with simulated operator and passenger weights 
must reach a minimum of 36 degrees in the longitudinal direction on a 
tilt table before lift-off of both uppermost tires occur. Lift-off of a 
tire occurs when a strip of 20-gauge steel can be pulled from 
underneath the tire with a force of 9 N (2 lbf) or less. [5]
 c. Information Requirements
    Most of the information requirements discussed above for single 
rider ATVs also apply to tandem ATVs. However, there are a few 
differences. The general warning label proposed for tandem ATVs omits 
the warning about carrying a passenger. The passenger warning label is 
completely different from the passenger warning label of single rider 
ATVs. It states ``Never carry more than 1 passenger,'' and states the 
following recommended hazard avoidance behaviors: ``Never carry a 
passenger too small to firmly plant his/her feet on the footrests and 
to securely grab the handles; never allow a passenger to sit in a 
location other than the passenger seat; and never carry a passenger who 
is not securely grasping the grip handles at all times.'' [10]
    The location required for the passenger warning label for tandem 
ATVs is also different from the location required for the single rider 
ATV. Because the general warning label required by the proposed 
standard no longer has any warnings about passengers, the passenger 
warning label should have greater visibility. Therefore, the proposed 
rule requires it to be affixed to the front fender of the tandem 
adjacent to the general warning label, so that it can be easily read by 
the operator when seated on the ATV in the proper operating position. 
[10]
    The hangtag must provide the contents of the general warning label 
required for tandems rather than the one required for single rider 
ATVs. The instructional/owners manual also must have a different 
statement about passengers. It must state the following (or 
substantially equivalent): ``NEVER CARRY MORE THAN ONE PASSENGER. This 
ATV has been designed specifically to carry one passenger.'' [10]

4. Requirements for Youth ATVs

a. General
    As discussed in section E above, the Commission is proposing three 
categories of youth ATVs based on maximum speed. Many of the proposed 
requirements for youth ATVs are similar to those for adult ATVs and the 
ANSI/SVIA-1-2001 voluntary standard. Because the FHSA, which provides 
authority for the proposed youth standard, allows design standards, 
some of the provisions of the proposed youth standard are phrased more 
closely to the ANSI/SVIA-1-2001 standard than the comparable adult 
standard provisions.
    A youth ATV is defined as an ATV that is intended for use by an 
operator less than 16 years of age. A Junior ATV is a youth ATV 
intended for use by an operator at least 6 years old. A Pre-teen ATV is 
a youth ATV intended for use by an operator at least 9 years old. And a 
Teen ATV is a youth ATV intended for use by an operator at least 12 
years old.
b. Equipment and Configuration Requirements
    With the exception of lighting, maximum speed capability, and the 
requirement for automatic transmission, the proposed equipment and 
configuration requirements for youth ATVs are essentially the same as 
those for adult single rider ATVs, which are expressed as performance 
requirements.
    Lighting. The proposed youth standard requires all youth ATVs to 
have at least one stop lamp, and it prohibits any headlamp or forward-
facing day-time running lights. The ANSI/SVIA-1-2001 standard prohibits 
both headlamps and tail lamps and is silent about running lights. [7]
    The Commission believes that youth ATVs should have stop lamps to 
alert a follower to the deceleration of a lead vehicle. The Commission 
believes it is also appropriate to allow (but not require) tail lamps 
for youth ATVs. Both of these types of lights could increase the 
ability of other ATVs to see a youth ATV, but they would not improve 
the ability of the youth ATV rider to operate the ATV at night. It is 
the concern that children may be encouraged to ride ATVs at night that 
is the basis for the proposed rule's prohibition of headlamps and 
forward-facing daytime running lights. Although the purpose of daytime 
running lights is to make the vehicle more conspicuous to other drivers 
rather than to illuminate the driver's path, the Commission is 
concerned that parents and children may have difficulty distinguishing 
between a daytime running light and a headlamp. This may encourage a 
child to ride at night. Thus, the proposed standard for youth ATVs 
allows daytime running lights only if they are not forward facing. This 
should increase the conspicuity of the ATV without providing forward 
illumination that could encourage night riding. [7]
    Maximum speed capability. As discussed above, the proposed rule 
establishes maximum speeds for three categories of youth ATVs. Junior 
ATVs, which are intended for children age 6 and older, must have a 
maximum speed capability of 10 mph. Pre-teen ATVs, which are intended 
for children age 9 and older, must have a maximum speed capability of 
15 mph. And Teen ATVs, intended for children age 12 and older, must 
have a maximum speed of 30 mph. In addition to placing limits on the 
maximum speed capability of the ATV, the proposed youth standard also 
requires speed limiting devices for Pre-teen and Teen ATVs. The maximum 
speed allowed for a Pre-teen ATV with a speed limiting device is 10 mph 
and the maximum restricted speed allowed for a Teen ATV is 15 mph. The 
youth ATVs requiring speed limiting devices must be delivered to the 
purchaser with the speed limiting device adjusted to limit the maximum 
speed to the lowest setting specified for each category of youth ATV. 
The proposed rule requires the simultaneous use of two different tools 
for the speed limiting devices to be adjusted or removed. This 
requirement is to make the devices more difficult to remove and thus 
discourage children from removing them without the participation of an 
adult. [5&6]
    Although the proposed rule creates three categories of youth ATVs 
instead of the current two categories, the proposal retains the current 
maximum unrestricted speed of 30 mph for youth ATVs. The combination of 
defining youth ATVs only by their maximum speed capability (rather than 
engine size) while retaining the maximum speed currently in place 
should allow manufacturers to develop ATVs with larger frames and 
somewhat more powerful engines while still

[[Page 45914]]

maintaining the safety of the current speed limitations. Consequently, 
provided a manufacturer is committed to the speed limitations of this 
proposed youth ATV standard, the Commission would not oppose a 
modification to a LOU to delete the engine size limitation.
    Automatic transmission. As discussed above, the proposed rule 
requires that all youth ATVs have automatic transmissions. The 
operation of an ATV is complex for a child even without the added 
activity of changing gears.
c. Information Requirements
    The requirements for labels, hangtags, instructional/owners 
manuals, safety video, and training in the proposed youth ATV standard 
are essentially the same as those in the proposed adult standard. 
However, there are some differences in wording where appropriate.
    Labels. As with the warning labels for adult ATVs, the format for 
all required warning labels for youth ATVs must be consistent with the 
ANSI Z535.4-2002 standard. The required location for all of the youth 
warning labels is the same as required for adult single rider ATVs. The 
contents of the general warning label, the passenger warning label, and 
the tire pressure and overloading label(s) are the same as required for 
adult single rider ATVs. The contents of the age recommendation labels 
differ slightly for each category of youth ATV. The age recommendation 
label for the Junior ATV must display the safety alert symbol and the 
word ``WARNING'' in capital letters. It must also contain a circle with 
a slash through it and within the circle the words ``UNDER 6.'' The 
proposed rule requires that below the circle must be the following, or 
substantially equivalent, statements: ``Operation of this ATV by 
children under the age of 6 increases the risk of severe injury or 
death. Adult supervision required for children under 16. Never let 
children under 6 operate this ATV.'' The age recommendation labels for 
the Pre-teen and Teen ATVS are similar, but the ages 9 and 12, 
respectively, are inserted instead of the age 6. [10]
    Hangtags. The proposed rule requirements for hangtags are similar 
to those in the proposed adult single rider standard. However, in 
addition to the statements required there, the youth ATV hangtag must 
also state: ``Even though a child is of the recommended age to operate 
a particular size ATV, not all children have the strength, skills, or 
judgment needed to operate an ATV safely, and parents should, 
therefore, supervise their child's operation of the ATV at all times.'' 
[10]
    Age acknowledgment. The proposed youth ATV standard also requires 
the retailer to get the purchaser's signature on an age acknowledgment 
form before the sales transaction. However, the required acknowledgment 
form is different from the adult standard. The form states the age 
categories and corresponding speed range. It advises the purchaser to 
buy an ATV that fits his/her child or teen, to use the speed limiter 
while the child is developing skills on the ATV, and to always 
supervise his/her child or teen. [6]
    Instructional/owners manuals. The proposed youth standard's 
requirements for owners manuals are essentially the same as the 
requirements for adult single rider ATVs. However, statements 
concerning children's use of ATVs have been modified or added. The 
manual must contain an introductory notice to parents emphasizing that 
ATVs are not toys and that it is important for children to understand 
the manual's instructions and warnings. The introductory section must 
contain the following statement: ``Children differ in skills, physical 
abilities, and judgment. Some children may not be able to operate an 
ATV safely. Parents should supervise their children's use of the ATV at 
all times.'' [10]
    Safety video and training. Requirements concerning the safety video 
and training are the same in the proposed youth standard as in the 
proposed adult ATV standard.

5. Ban of Three-Wheeled ATVs

    The Consent Decrees prohibited the ATV distributors who signed the 
Consent Decrees from distributing or selling three-wheeled ATVs. In the 
LOUs, the major distributors agreed to continue to refrain from selling 
three-wheeled ATVs. None of them currently sell them (although three-
wheeled ATVs that pre-date the Consent Decrees are still in use and 
could continue to be used if a ban is finally adopted). However, newer 
entrants to the ATV market have not made such agreements with the 
Commission.
    The Commission's Office of Compliance has found that three-wheeled 
vehicles are being advertised and marketed as ATVs for sale in the 
United States. Compliance staff has identified three importers who have 
sold a recreational vehicle that is essentially a cross between a 
traditional ATV and a dirt bike, and would meet the proposed rule's 
definition of an ATV. All three importers use the Internet as the 
retail location for this product. They refer to it as a three-wheeled 
ATV. The price ranges from $350.00 to $380.00, plus shipping. All three 
importers are selling this product with a 49cc engine displacement. 
[14]
    In addition, two styles of an all terrain three-wheeled golf 
scooter are being sold on the Internet and at golf supply stores. Both 
of these styles would meet the proposed rule's definition of an ATV.
    The presence of these three-wheeled vehicles on the market 
indicates that the current LOU provisions, which continue the stop sale 
provision in the Consent Decrees, are not sufficient to keep new three-
wheeled ATVs from entering the market. As discussed earlier, the newer 
entrant importers have been increasing their proportion of the market 
for ATVs sold in the U.S. This could mean increasing availability of 
these types of three-wheeled ATVs. [4]
    Analysis of Commission data indicates that the risk of injury 
associated with three-wheeled ATVs is substantially higher than with 
four-wheeled ATVs. A recent risk analysis, based on injuries reported 
through the CPSC's National Electronic Injury Surveillance System 
(``NEISS'') and a parallel survey of the general population of ATV 
drivers, found that the risk of a hospital emergency department treated 
injury on a three-wheeled ATV was about 3.1 (95% confidence interval, 
1.5 times to 6.4 times) times the risk on a similar four-wheeled ATV. 
As explained in the Preliminary Regulatory Analysis, the staff 
estimates the expected difference in non-fatal injury costs between 
three- and four-wheeled ATVs to be about $3,045 per ATV annually. This 
means that over the expected 9 year life of an ATV, the present value 
of the injury cost difference would be about $23,700. Even a lower 
bound estimate for the injury cost differential comes to a difference 
of $6,839 over the life of the product. The injury cost difference 
would be offset somewhat by the lower retail costs of a three-wheeled 
ATV compared to a four-wheeled ATV. Accounting for this, the total 
costs associated with three-wheeled ATVs (including both the injury 
costs and the costs of purchasing the ATV) might amount to about 
$23,400 ($23,700 in injury costs less $300 in retail costs) more than 
the costs of a similar four-wheeled ATV (over its useful product life). 
At the lower bound level, the difference would amount to about $6,530. 
[8]
    Although the Commission cannot quantitatively estimate the utility 
of a three-wheeled ATV, available evidence suggests that the utility 
differential between a three-wheeled ATV and a four-wheeled ATV, for 
most people, is minimal. In the 1980s, before the Consent Decrees, 
four-wheeled ATVs

[[Page 45915]]

were steadily increasing their market share, so that by 1986, 80% of 
ATVs sold were four-wheeled models. Moreover, after the manufacturers 
agreed to stop selling three-wheeled ATVs pursuant to the Consent 
Decrees, the market price of used three-wheeled ATVs declined relative 
to four-wheeled models. This indicates that most consumers did not 
value three-wheeled ATVs significantly more than four-wheeled ATVs. [8]
    At this point, it seems unlikely that any feasible standard could 
be developed for three-wheeled ATVs. As the Engineering staff notes, 
three-wheeled ATVs are less stable than four-wheeled ATVs and require 
far more active rider input to steer properly. Although many technical 
factors make a four-wheeled ATV more dynamically stable than a three-
wheeled ATV, one of the largest factors is the fourth wheel. Given the 
inherent difference in vehicle configuration, the Commission does not 
believe that it is feasible to develop a performance standard for 
three-wheeled ATVs that would improve their stability performance to 
the level of a four-wheeled ATV. [5]

H. Response to Comments on the ANPR

    As discussed above, the Commission published an ANPR in the Federal 
Register on October 14, 2005, 70 FR 60031. The Commission received 165 
comments; one of those comments was a form letter, copies of which were 
submitted by about 1,500 consumers. Among those who sent comments to 
the Commission were ATV Safety Institute instructors; a state senator; 
ATV riders; parents and relatives of riders; parents, relatives, and 
friends of fatality and injury victims; consumers; medical 
professionals; consumer organizations; ATV industry associations; 
employees of the ATV industry; the Centers for Disease Control and 
Prevention; and students at a U.S. university.
    The issues that were raised most frequently concerned the 
importance of training and safety education; state and local laws and 
enforcement; the use of protective gear; age/size guidelines, the 
proper fit of a child on an ATV and a transitional vehicle; the need to 
provide ATV purchasers with ATV-related death and injury statistics; 
ATV design; and parental rights and responsibilities. Other comments 
provided ATV-related injury and fatality statistics for specific 
states, regions, and hospitals. Some comments stated a position on the 
petition that was submitted in 2002 by the CFA and eight other groups. 
Another issue raised in a handful of comments was the non-recreational 
use of ATVs and the marketing of ATVs for that purpose.
    Each of these issues, with the Commission's response, is summarized 
below. Many of the issues raised in the comments are discussed in more 
detail in the staff's input memoranda listed at the end of this notice.

Training

    Comment. Many comments expressed the importance of training for 
safe ATV driving. Some comments spoke about training in general being 
important, while a few others suggested that training should be 
mandated, that training should be required before purchase of an ATV, 
or that training should be free of charge to all ATV riders.
    Response. CPSC agrees that formal hands-on training teaches drivers 
how the ATV responds in situations that are typically encountered. CPSC 
believes that ATV training is important because, as mentioned in the 
memo ``ATV Training'' from the Division of Human Factors, operating an 
ATV seems deceptively easy; steering controls are similar to a 
bicycle's, and the throttle is generally lever-operated with the thumb. 
ATVs, however, are high-speed motorized vehicles that require repeated 
practice to drive proficiently. In addition, riding an ATV is ``rider-
active,'' that is, the rider must actively shift his or her body to 
maintain proper control of the vehicle. It takes repeated practice to 
become a proficient driver. Formal training may act as a surrogate for 
experience because it exposes new ATV drivers to situations they will 
encounter while riding off-road and teaches them the proper driving 
behavior to navigate those situations.
    As discussed above, to address the issue of training, CPSC is 
proposing that retailers of ATVs provide to every purchaser of an ATV a 
training certificate that would offer free hands-on training to members 
of the purchaser's immediate family. The course would include 
classroom, field, and trail activities, and a means for the student to 
demonstrate skills.

State and Local Laws and Enforcement

    Comment. Many comments reflected on the role of states and 
localities in addressing the risks associated with ATVs. Some 
commenters expressed the need to enact state legislation, while others 
expressed the need for the states to clarify and enforce the laws that 
already are in place. Some commenters called for ATV licensing, just as 
automobile drivers have driver's licenses. Others suggested fines for 
riding on public roads, as well as sales taxes or city taxes on ATVs. 
Some commenters felt that more laws are not the answer because they 
still will not cause irresponsible drivers to drive safely. One 
commenter suggested that state laws should set minimum age limits for 
ATV riders and require licensing, registration, training, safety 
equipment, and prohibit passengers, while another commenter suggested 
that Congressional action should be taken to provide financial 
incentives for states to adopt safer ATV laws. Other commenters asked 
that CPSC join the ATV companies and other interested parties in 
actively supporting enactment of comprehensive ATV safety legislation 
in states where it is under consideration. A state senator from 
Minnesota expressed opposition to any federal regulation that ``removes 
the state as the primary regulatory mechanism'' for ATVs. Other 
commenters wrote about having graduated licensing of ATV drivers as 
some states have for automobiles.
    Response. CPSC believes that states and localities have a critical 
role to play in any strategy to address the risk of injury and death 
associated with ATVs. Legislative activity, or interest in such 
activity, has been on the increase in the states. As noted in the 
staff's briefing memorandum, the staff suggests that the Commission 
establish an online state data resource bank for use by those who might 
want to pursue legislation or other ATV safety-related actions.

Helmets and the Use of Protective Gear

    Comment. Some commenters noted that the use of helmets and 
protective gear is important in reducing deaths and injuries. One 
commenter cited CPSC staff research that suggests that between 42 and 
64 percent of fatalities and hospitalized injuries involving the head 
``could have been averted by helmet use in cases where a helmet was not 
being worn.'' Others mentioned that ATV riders and parents of riders 
need to know the importance of helmet use, while another commenter 
suggested that the helmet should be ``required to be thrown in as part 
of the package.''
    Response. CPSC has always emphasized the importance of using 
helmets and other protective safety gear. As noted in the briefing 
package, CPSC staff encourages retailers to co-merchandise ATV safety 
gear, particularly helmets, alongside ATVs. The importance of wearing 
helmets and safety gear is one of the messages in the proposed rule; 
the message would be required on the general warning label and in the 
owner's manual. Wearing suitable equipment also is included as

[[Page 45916]]

an element in the required training course.

Age/Size Guidelines, Proper Fit, and Transitional Vehicle

    Comment. Many commenters addressed the current age/size guidelines 
and the importance of finding a ``right fit'' for a child who rides an 
ATV; they also supported or opposed a transitional vehicle. Commenters 
noted the difficulty of children being able to get training when they 
were on an adult ATV; others said that the current CPSC guidelines 
matching engine size to age are too narrow in focus. One commenter 
suggested focusing less on the age of the rider and more on size, 
weight, and experience. Another commenter pointed out that the market 
now has some mid-sized ATVs and that they are safer for a child to ride 
than the smaller 90cc ATVs, while another suggested that children ages 
12 to 15 years old should be able to ride up to a 250cc 4-stroke ATV. 
Other commenters pointed out that the age restriction actually leads to 
a safety problem because riding an undersized ATV is as much a safety 
concern as riding an oversized ATV. A few commenters mentioned that 
being able to adjust the throttle limits was a particularly useful 
feature as children grow physically and learn to ride.
    With respect to a transitional vehicle, many commenters expressed 
opposition and stated that any proposal to put a child on an ATV larger 
than 90cc should be rejected, that this would be a step backward, and 
it would put children at an even greater risk of death and injury. 
Commenters who were in opposition to a transitional vehicle seemed to 
equate a transitional vehicle as one that was heavier, larger and 
faster.
    Response. As discussed in section E of this notice and in the 
briefing memo, CPSC believes that speed, not engine size, is a more 
appropriate criterion for determining which ATVs should be recommended 
for children and youth under the age of 16. The proposed rule 
eliminates engine size as a category marker for distinguishing youth 
ATVs. In addition, all youth model ATVs will be required to have an 
automatic transmission, so that children can focus on mastering driving 
skills before learning to coordinate gear shifting with the many other 
skills involved in operating an ATV.
    CPSC believes that limiting maximum speed is the most critical 
safety factor for youth ATV models. By eliminating the engine size 
restriction, manufacturers will be able to produce a variety of ATV 
models that meet speed restrictions but are more appropriately sized to 
account for the wide variation in physical dimensions of young people. 
By having the option of riding better-fitting ATVs that are not 
performance limited by undersized engines, CPSC believes that more 
youth will ride age-appropriate and speed-restricted ATVs rather than 
gravitating toward adult ATV models.

Disclosure of Death and Injury Data

    Comment. Several comments expressed the belief that information 
about the risk of injury and death associated with riding ATVs, 
especially with regard to children riding adult ATVs, has not been 
available to prospective purchasers and that such information should be 
provided at the point of sale. One of these comments includes the 1,500 
individuals who submitted the letters that are entered as comment 57.
    Response. The proposed rule would require that ATV dealers provide 
purchasers of adult ATVs with a written statement that (1) clearly 
states that adult ATVs are not intended for use by children under the 
age of 16, and (2) gives consumers specific information about the 
possible injury consequences of allowing children to ride adult ATVs. 
The disclosure statement would be provided to purchasers prior to 
completion of the sale. Consumers would be required to sign the 
statement to acknowledge that they had been informed about the CPSC age 
guidelines for youth models and the risks associated with children 
riding adult ATVs. Similar disclosure forms would be provided to 
purchasers of youth ATVs; those forms would indicate the age of the 
child for which the youth model was designed.

ATV Design

    Comment. Comments on ATV design ranged from the belief that deaths 
and injuries are operator error and not the result of the machine's 
design to some specific suggested design changes. One commenter said 
that manufacturers should not be required to significantly modify their 
designs for the sake of adding safety equipment, while a few others 
stated that ATVs should have a roll bar and safety belt. Other 
suggested design changes included: tags (license plates) on machines so 
they can be identified; make the ATVs two inches wider; provide a seat 
actuator which would turn the engine off if a passenger was on a 
single-person ATV; provide daytime running lights and headlights on 
ATVs. One commenter suggested that CPSC should determine the 
appropriate testing that needs to be done in order to assess dynamic 
stability, rollover propensity, and braking, suspension, and handling 
systems.
    Response. CPSC staff notes in Tab G of the briefing package from 
the Directorate for Engineering Sciences that there are technical 
issues that would benefit from further testing and study. This work, 
however, will require time and the coordinated application of CPSC and 
private sector resources. CPSC believes that the most effective way to 
carry this out is through close, ongoing interaction with voluntary 
standards committees that are addressing ATVs in that regard.
    With respect to lighting equipment, the proposed rule for adult 
ATVs would require at least one headlamp projecting a white light to 
the front of the ATV, at least one tail lamp projecting a red light to 
the rear and at least one stop lamp or combination tail/stop lamp. 
Daytime running lights would be allowed on adult ATVs.
    All youth ATVs would be required to have at least one stop light. 
As discussed in section G.4.b above and in the briefing package, CPSC 
believes that riding ATVs at night is a significant risk factor for 
children and should be discouraged. Because headlamps or any forward-
facing light on youth ATVs may encourage nighttime and unsupervised 
riding in challenging conditions, CPSC believes that these lights 
should not be allowed. Under the proposed rule, forward-facing daytime 
running lights for conspicuity would be prohibited on a youth ATV; but 
daytime running lights would be allowed on other parts of youth ATVs. A 
brake light would be required on youth ATVs.

Parental Rights and Responsibilities

    Comment. Many comments focused on parental rights and 
responsibilities. For the most part, these comments expressed the 
belief that parents have the right and the responsibility to make 
decisions for their children and are the best judges of their 
children's abilities and skill levels. Other comments stated that some 
parents have neglected supervising their children and that the rights 
of many should not be taken away because of the actions of a few.
    Response. CPSC agrees that parents must play a critical role in 
supervising their children's use of ATVs. This includes decisions about 
the size of ATV their child /children should use and their child's 
riding behavior. As mentioned above, the proposed rule requires that 
information be provided to help parents in their decision-making. The 
mandatory labels for youth ATVs provide a notice to parents that 
children

[[Page 45917]]

should ride only age-appropriate ATVs, while the hangtags and the 
owner's manual are required to include messages about the importance of 
supervision.

Injury and Fatality Statistics

    Comment. Some comments included death and/or injury statistics for 
specific regions of the country, specific hospital emergency rooms, and 
specific states; some of the information was contained in articles that 
had been published in professional journals. A few commenters talked 
about the comparative risk of ATV riding and the risk associated with 
other activities. One commenter stated that overall ATV injury risk, as 
measured per vehicle in use (for all ages or for children) has been 
stable since the expiration of the Consent Decrees in 1998 and that 
ATV-related fatality risk (for all ages or for children) has declined 
or remained stable since 1999.
    Response. With respect to the comment that overall ATV injury risk 
has been stable since the expiration of the Consent Decrees, the 
Directorate for Epidemiology notes that the 2004 Annual Report of ATV 
Deaths and Injuries compared the 2004 injury risk to the 2001 injury 
risk and concluded that there was no statistically significant trend in 
injury risk, positive or negative, from 2001 to 2004. However, the 
report noted that the statistical testing of differences in injury risk 
prior to 2001 is not possible due to the unavailability of measures of 
variation for risk estimates during those years.
    With respect to fatality risk, CPSC staff notes that, because data 
collection was incomplete for the years 2002-2004 at the time of the 
most recent report, no conclusions could be made about fatality risk 
for those years. The commenter's assertion that fatality risk has 
declined or remained stable does not appear to be the result of a 
statistical test, since no measures of variation are provided in the 
commenter's report. CPSC staff has not performed statistical testing on 
risk of death for similar reasons.
    As noted in section D of this notice and in the briefing memo, 
there were an estimated 136,100 emergency room-treated injuries for all 
ages in 2004. This was an increase of 10,600 from 2003. In 2003, there 
were an estimated 740 deaths associated with ATVs. Twenty-six percent 
of the reported deaths in 2001 were of children under 16 years old.

Ban the Sale of Adult-Size ATVs for the Use of Children Under 16 Years 
Old

    Comment. Several comments were submitted that specifically 
expressed a position on the CFA petition to ban the sale of adult sized 
vehicles for use by children under 16 years old. This included the 
1,500 form letters submitted as comment 57, which expressed the opinion 
(without mentioning the petition) that the sale or rental of adult-
sized ATVs to anyone under 16 should be prohibited. A few letters 
expressed opposition to the petition.
    Response. The petition to ban the sale of adult ATVs for the use of 
children under 16 years old was the focus of the staff's 2005 briefing 
package. The staff comments on the petition are contained in that 
document.

Non-Recreational Use of ATVs, ATV Marketing

    Comment. A few commenters mentioned the non-recreational aspect of 
ATVs, the perceived need to limit their marketing to farm or utility 
use alone, and that the advertised recreational use of ATVs is not a 
practical or safe form of activity. Some of these commenters expressed 
concern about the injuries and deaths associated with the use of ATVs 
in farm or utility work.
    Response. CPSC believes the issue of how ATVs are marketed as 
recreational or utility vehicles is better addressed by the Federal 
Trade Commission.

I. Preliminary Regulatory Analysis

    The Commission is issuing a proposed rule under sections 7, 8 and 9 
of the CPSA and section 2(q)(1)(A) of the FHSA. Both the CPSA and FHSA 
require that the Commission prepare a preliminary regulatory analysis 
for these proposed rules and that it be published with the final rule. 
15 U.S.C. 2058(c) and id. 1262(h). The following discussion is 
extracted from the staff's memo, ``All Terrain Vehicle Mandatory 
Standard: Preliminary Regulatory Analysis.''

1. Introduction

    The main provisions of the ATV proposed rules include (1) 
Mechanical requirements for ATVs,(2) a ban on the sale of new three-
wheel ATVs, (3) speed limitations on ATVs intended for children under 
16 years of age, (4) requirements for warnings and recommendations to 
be provided to purchasers of new ATVs through hang tags, labels, 
videos, and owner's manuals, (5) requirements for a disclosure 
statement to be provided to purchasers warning against the use of adult 
ATVs by children, (6) a requirement that all purchasers of new ATVs be 
offered free safety training, and (7) requirements that purchasers of 
new ATVs be provided with a means for reporting safety related 
complaints to the manufacturer and the CPSC.
    Many of the provisions of the proposed rules are based on an 
existing voluntary standard (ANSI-SVIA-1-2001), provisions of the 1988 
Consent Decrees, and the current LOUs with a number of manufacturers 
that may account for as much as 90 percent of the U.S. market for ATVs. 
Consequently, the Commission believes that most ATVs are already in 
substantial conformance with most of the provisions of the proposed 
rule. Some of the smaller manufacturers, and some of the recent 
entrants into the market may also be in conformance with some (or most) 
of the provisions of the proposed rule. Promulgating a mandatory rule 
will ensure that manufacturers that are already conforming continue to 
do so, and that any manufacturer that does not now conform can be 
brought into conformance.
    Below is a preliminary regulatory analysis of the proposed rule, 
including a description of the potential costs and potential benefits. 
Each element of the proposed rule is discussed separately. For some 
elements, the benefits and costs cannot be quantified in monetary 
terms. Where this is the case, the potential costs and benefits are 
described and discussed conceptually.

2. Products Covered

    An ATV is a motorized vehicle with 3 or 4 low-pressure tires (less 
than 10 pounds per square inch) that is intended for off-road use. The 
seat is designed to be straddled by the operator. Handlebars are used 
for steering control. Most ATVs are intended to carry only one person: 
the operator. More recently, some tandem ATVs have been introduced that 
are designed to carry a passenger in addition to the operator. ATVs can 
be used for purposes of recreation, sport or utility.
    If promulgated in final, the proposed rule will apply to all ATVs 
sold in the United States on or after the effective date of the rule 
(180 days after publication of a final rule). It will not apply to ATVs 
that were sold prior to the effective date.

3. ATV Manufacturers, Numbers in Use, and Sales

    The ATV market has grown substantially since Honda introduced the 
first ATV in 1969. The Specialty Vehicle Institute of America (SVIA) 
estimated that in 2005, there were 6.9

[[Page 45918]]

million ATVs in use. While most ATVs are used for recreational 
activities, ATVs can also be used for non-recreational activities, such 
as farm or ranch work or for transportation to remote work sites that 
are not accessible on paved roads.
    The number of new ATVs sold annually has increased substantially in 
the last decade. In 1995, an estimated 293,000 ATVs were sold in the 
US, almost all by 7 North American distributors (Honda, Kawasaki, 
Yamaha, Suzuki, Polaris, Bombardier, and Arctic Cat). In 2005, an 
estimated 921,000 ATVs were sold in the US. An estimated 10 percent (or 
92,000) were imported. The share of imports is expected to continue to 
increase in the future.
    With the substantial increase in ATV sales has come a substantial 
increase in the number of manufacturers supplying ATVs to the U.S. 
market. In 1995, virtually all the ATVs were supplied by 7 domestic 
distributors; by 2006, the staff had identified at least 87 firms 
supplying ATVs to the U.S. market.
    Generally, the largest manufacturers sell their ATVs through 
franchised dealers. Importers will typically import ATVs from a foreign 
manufacturer and then market them to various retailers. Some importers 
may sell directly to consumers. Some imported ATVs are sold directly to 
consumers through import brokers who never actually have physical 
possession of the ATV. ATVs are also offered for sale through the 
internet.
    Most ATV retailers sell products in addition to ATVs. For example, 
many ATV dealers also sell motorcycles, scooters, personal water craft, 
and sometimes farm equipment. Some ATVs are sold by other types of 
retailers, such as aftermarket automotive parts and accessories 
dealers.
    The median retail price of an ATV from the domestic manufacturers 
is about $5,150 (range $2,000 to $8,000). The median price for youth 
ATVs is about $2,300 (range $1,800 to $2,500). The retail prices of 
imports can be substantially lower.

4. Benefits and Costs of the Proposed Rule

    Mechanical Requirements. The proposed rule incorporates a number of 
mechanical requirements from the current voluntary standard for ATVs 
(ANSI/SVIA-1-2001). The specific requirements and rationales are 
described and discussed in more detail above. They include, among other 
things, requirements for service and parking brakes, mechanical 
suspension, pitch stability, handlebars, and the operator foot 
environment. There are also some additional design requirements for 
youth models covering items such as the location of brake and throttle 
controls.
    The proposed rule differs from ANSI/SVIA-1-2001 with regard to some 
lighting requirements. The proposed standard would require stop lamps 
on all ATVs, including youth models (i.e., those intended for children 
under the age of 16). ANSI/SVIA-1-2001 allows, but does not require 
stop lamps on adult and youth ATVs. Stop lamps can reduce the risk of a 
collision by visibly signaling to a following ATV that an ATV ahead of 
it is decelerating. CPSC believes that while most adult ATVs are 
already equipped with stop lamps, most youth ATVs do not currently have 
stop lamps.
    The proposed rule would require that youth ATVs be equipped with 
automatic transmissions so that the operator does not have to either 
engage a clutch or select the proper gear in order for the engine to 
maintain its optimum speed. This is a change from the voluntary 
standard, which does not specify the type of transmission on youth 
ATVs.
    Each provision of the mechanical requirements should reduce injury 
risks associated with ATVs. For example, the pitch stability 
requirement is intended to reduce the propensity of ATVs to tip 
rearward, which could injure the rider if he or she was thrown from the 
vehicle or the vehicle flipped and landed on the rider. The service and 
parking brake performance requirements are intended to ensure that 
brakes are at least adequate for stopping the vehicle and preventing 
the vehicle from rolling when it is left unattended. The requirement 
for automatic transmissions on youth ATVs could reduce injury risk by 
reducing the number of tasks that inexperienced drivers must perform 
while driving an ATV.
    Mandating these mechanical requirements would help ensure 
compliance with these minimum mechanical safety requirements and 
enhance the CPSC's ability to enforce the mechanical safety 
requirements at a time when many new manufacturers are entering the 
market. Conformance to ANSI/SVIA-1-2001 is voluntary.
    Mandating these mechanical requirements would have a small initial 
impact on injury risk. The ATV manufacturers that have negotiated LOUs 
with the CPSC are already in conformance with the requirements of the 
voluntary mechanical standard, from which the requirements in the 
proposed rule were adapted. Some of the smaller manufacturers are also 
believed to be in conformance with the voluntary standard. In total, 
the firms that are already in substantial conformance probably account 
for more than 90 percent of ATVs now sold. However, mandating these 
requirements would ensure that those firms that do not now meet these 
minimum safety requirements will begin to do so. Moreover, as new firms 
enter the market, the presence of a mandatory standard that can be more 
easily enforced would make it more likely that new entrants comply with 
the mechanical safety requirements. Mandating these requirements should 
also help ensure that the risk of ATV-related injury due to ATVs that 
do not meet the mechanical safety standards does not increase in the 
future.
    Since many manufacturers already conform with the voluntary 
standard, the additional cost that will be incurred by manufacturers to 
meet the mechanical requirements of the proposal will be low. The cost 
to some may be limited to the cost of adding stop lamps to their youth 
ATVs. The cost of adding stop lamps to ATVs could amount to several 
dollars or more, especially on youth ATVs. Most adult ATVs are thought 
to already have stop lamps.
    Additionally, some manufacturers will have to modify the 
transmissions on some youth ATV models so that they are fully 
automatic. Based on staff observations, most current youth ATV models 
are already equipped with automatic transmissions, especially those 
intended for children under the age of 12 years. The staff has 
identified some ATVs intended for children between 12 and 15 years of 
age that are equipped with automatic clutches, but not automatic 
transmissions. These ATVs would not meet the requirements of the 
proposed rule.
    The fact that many youth ATVs are already equipped with automatic 
transmissions indicates that many consumers are willing to pay the 
additional cost of automatic transmissions for the additional safety, 
convenience, or driving ease that is provided by automatic 
transmissions. However, the Commission has not been able to quantify 
the difference in cost between automatic transmissions and manual 
transmissions or between automatic transmissions and automatic 
clutches/manual transmissions.
    The mechanical requirements are not expected to cause a substantial 
loss of utility for the rider. In fact, to the extent that the 
requirements prevent accidents, reduce downtime, make the ride more 
comfortable (e.g., the suspension requirements), and increase the 
functionality of the vehicles, most of the

[[Page 45919]]

requirements could have a positive impact on rider utility.
    The proposed rule would require manufacturers (including importers) 
to perform, or cause to be performed, testing sufficient to ensure, on 
an objectively reasonable basis, that each ATV conforms to the 
requirements in the proposed rule. The specified tests will require 
some time and equipment. If the tests are conducted at a facility where 
the required equipment is available and set up time for each test is 
kept to a minimum, it is possible that all of the tests could be 
conducted in one day (8 hours) or less. It is reasonable to assume that 
the person supervising the tests will be a senior mechanical engineer 
and that at least one other mechanical engineer will be involved in 
conducting the tests. If the total labor costs were $90 per hour, then 
the cost of conducting the tests would be about $720 per model (8 hours 
x $90).\6\
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    \6\ According to the U.S. Department of Labor, Bureau of Labor 
Statistics, the average wage for a Level 13 Mechanical Engineer was 
$52.45 in July 2003. In this discussion $90 is used to allow for the 
assistance of a less experienced engineer and inflation.
---------------------------------------------------------------------------

    In addition to the labor cost, some accounting for the cost of 
equipment required for testing should also be made. Assuming that ATV 
manufacturers have the equipment easily available, it is probably 
reasonable to assume that the cost of the equipment used in the testing 
is perhaps about $500. This could be thought of as the rental value of 
the equipment for a day of testing.
    The testing must be documented and maintained for 5 years after the 
production of that model ceases. The information required for this 
documentation would be collected during the performance of the tests. 
However, this information might be reformatted and assembled into the 
final record after the testing is completed. Moreover, in the case of 
foreign manufacturers, this documentation will have to be provided to 
the U.S. based importer and it is the importer that will be required to 
maintain the records. This could add perhaps another $100 to the cost 
of the testing and record keeping.
    These estimates suggest that the full testing and recordkeeping 
costs of the proposed rule could be about $1,320 per model. Previously, 
CPSC staff had identified 131 different ATV models for the model year 
2001 and 235 different ATV models for the year 2003. Given the 
significant increase in sales of ATVs in recent years, it is not 
unreasonable to believe that there might be 500 different ATV models 
today. Therefore, the full testing and recordkeeping costs could be 
$660,000 per year, assuming models are changed annually.
    Several ATV manufacturers conform to ANSI/SVIA-1-2001 and, 
therefore, should already be performing the testing called for in the 
proposed rule. The proposed rule will not impose additional testing 
burdens on these manufacturers. The staff estimates that these 
manufacturers account for at least 150 ATV models. Therefore, the 
testing and recordkeeping costs that could be attributed to the 
proposed rule that would not be incurred in the absence of the proposed 
rule, could be less than $462,000 annually ($660,000 - 150 x $1,320).
    Ban on the Sale of New 3-Wheel ATVs. As part of the 1988 Consent 
Decrees, ATV manufacturers agreed not to sell any new 3-wheel ATVs, 
which had been shown to be less stable and more risky than their 4-
wheel counterparts. As a result, until recently, no new 3-wheel ATVs 
have been marketed in the United States since the late 1980s. However, 
the CPSC Office of Compliance has found evidence on the Internet that 
3-wheel vehicles that could be considered to be ATVs have recently been 
offered for sale to the public. Therefore, the proposed rule would 
formalize a ban on the sale of new 3-wheel ATVs. While formalizing the 
ban will not reduce ATV-related injuries significantly from their 
present levels, it will ensure that 3-wheel ATVs are not reintroduced 
into the U.S. market.
    The justification for a ban on the sale of 3-wheel ATVs is based on 
the substantially higher expected injury costs associated with the 
ownership and use of 3-wheelers, relative to 4-wheelers, and the 
likelihood that these higher costs outweigh any additional utility that 
they may provide to their owners. We begin with a discussion of the 
costs associated with the ownership and use of 3-wheel and 4-wheel 
ATVs.
    The real costs of ATVs include the expected injury costs associated 
with their use as well as their purchase price. A recent risk analysis, 
based on injuries reported through the CPSC National Electronic Injury 
Surveillance System (NEISS) and a parallel survey of the general 
population of ATV drivers, found that the risk of a hospital emergency 
department-treated injury on a 3-wheel ATV was about 3.1 (95% 
confidence interval (CI), 1.5, 6.4) times the risk on a similar 4-wheel 
ATV.\7\
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    \7\ Gregory B. Rodgers and Prowpit Adler, ``Risk Factors for 
All-Terrain Vehicle Injuries: A National Case-Control Study,'' 
American Journal of Epidemiology, Vol. 153, No. 11 (2001). Hereafter 
Cited ``Rodgers and Adler (2001).''
---------------------------------------------------------------------------

    These relative risk estimates can be used to estimate the expected 
difference in annual injury costs between 3-wheel and 4-wheel ATVs. In 
2001, the societal cost of non-fatal ATV-related injuries was about 
$1,876 per ATV in use. In 2001, 3-wheel ATVs made up about 14 percent 
of the ATVs in use. If we let Cost<INF>3</INF> and Cost<INF>4</INF> 
represent the expected annual non-fatal injury cost per 3-wheel and 4-
wheel ATVs in use respectively, then the expected annual injury cost 
per ATV can be expressed as 0.14(Cost<INF>3</INF>) + 
0.86(Cost<INF>4</INF>) = $1,876.
    Since the risk of a non-fatal injury on 3-wheel ATVs is 
approximately 3.1 times that of a 4-wheel ATV, Cost<INF>3</INF> can be 
expressed in terms of Cost<INF>4</INF> (i.e., Cost<INF>3</INF> = 3.1 * 
Cost<INF>4</INF>). Solving these equations yields Cost<INF>3</INF> = 
$4,494 and Cost<INF>4</INF> = $1,450. Therefore the expected difference 
in non-fatal injury costs between 3-wheel and 4-wheel ATVs is about 
$3,045 per vehicle annually.\8\ If the expected life of an ATV is 9 
years, the present value of this injury cost difference (at a 3 percent 
discount rate) over the expected life of the product will come to about 
$23,700.\9\
---------------------------------------------------------------------------

    \8\ An analysis of fatal injury risks also suggested a higher 
relative risk on 3-wheel ATVs. However, because information 
regarding a key driver characteristic was missing, the difference in 
fatal injury risks was less amenable to quantification and, 
therefore, not included in the above analysis. It suggests however, 
that the cost differential between 3-wheel and 4-wheel ATVs 
estimated above could be low (see Gregory B. Rodgers, ``Revisiting 
All-Terrain Vehicle Risks: Response to Critique,'' Journal of 
Regulatory Economics, Vol. 10 (September 1996).
    \9\ This is a low estimate of the average life of an ATV. One 
analysis suggests that the expected life of an ATV could be 19 years 
(Statement of Ed Heiden of Heiden Associates at the Consumer Product 
Safety Commission West Virginia Public Field Hearing, Morgantown, 
West Virginia, 5 June 2003).
---------------------------------------------------------------------------

    A lower bound estimate for the injury cost differential might be 
based on the lower 95 percent confidence bounds of the relative risk 
factors for 3-wheel ATVs described above, or 1.5 instead of 3.1. Based 
on these relative risk estimates, the non-fatal injury cost 
differential on a 3-wheel ATV would be about $877 per year. Assuming a 
9-year useful life and a 3 percent discount rate, this comes to a 
difference of $6,830 over the life of an ATV.\10\
---------------------------------------------------------------------------

    \10\ Even if a higher discount rate were used, the cost 
differences would be substantial. For example, if a 7 percent 
discount were used with the lower estimates of the relative risks, 
the expected cost difference over the life of an ATV would be 
$5,713.
---------------------------------------------------------------------------

    The injury cost differential would be offset somewhat by the lower 
retail costs of 3-wheel ATVs. Based on information from the late-1980s, 
when 3-wheel ATVs were still being produced, 3-wheeled ATVs cost about 
$190 less than a similar 4-wheel model. This cost

[[Page 45920]]

differential would probably amount to about $300 in 2004 dollars.
    Thus, the total costs associated with 3-wheeled ATVs (including 
both the injury costs and the costs of purchasing the ATV) might amount 
to about $23,400 ($23,700 in injury costs less $300 in retail costs) 
more than the costs of a similar 4-wheel ATV (over its useful product 
life). At the lower bound level, the difference would amount to about 
$6,530.
    A ban of 3-wheel ATVs would therefore be beneficial (on average) if 
the average extra valuation (i.e., use value or utility) that 
individuals put on a 3-wheel ATV over a 4-wheel ATV is less than 
$23,700 (or about $6,530 at the lower bound) over the useful life of 
the product. Consequently, if the utility from a 4-wheel ATV is not 
substantially different from the utility from a 3-wheel ATV, the ban 
would be justified.
    We cannot estimate the utility that individuals get from ATVs, and 
so we cannot say that the ban would be justified for all individuals. 
However, available evidence suggests that for most individuals, the 
utility differential is minimal. First, 4-wheel ATVs were growing in 
market share throughout the 1980s, even though their retail prices were 
marginally higher than similar 3-wheel ATVs. By 1986, for example, two 
years before the consent decrees became effective, about 80 percent of 
ATVs sold in the U.S. had four wheels. Second, after the ATV 
manufacturers agreed to stop selling 3-wheel ATVs as part of the 
consent decrees, the market price of used 3-wheel ATVs actually 
declined relative to the price of 4-wheel models.\11\ There was no 
evidence of a strong market reaction to the 3-wheel ATV stop-sale, such 
as bidding up the price of the increasingly scarce 3-wheelers that 
would suggest many consumers valued 3-wheel ATVs significantly more 
than they valued 4-wheel models.
---------------------------------------------------------------------------

    \11\ Gregory B. Rodgers, ``All-Terrain Vehicles: Market Reaction 
to Risk Information,'' Economic Inquiry, Vol. 31, No. 1 (January 
1993).
---------------------------------------------------------------------------

    Speed Limitations on ATVs Intended for Youths. The proposed rule 
would limit the maximum speeds of ATVs intended for children under the 
age of 16 years. Teen ATVs (i.e., those intended for riders between 12 
and 15 years of age) would have a maximum unrestricted speed of 30 mph 
and a speed limiting device that can limit the maximum restricted speed 
to 15 mph. Pre-Teen ATVs (i.e., those intended for children between 9 
and 11 years of age) would have a maximum unrestricted speed of 15 mph 
and a speed limiting device that can limit the maximum restricted speed 
to 10 mph. Junior ATVs (i.e., those intended for children between 6 and 
8 years of age) would have a maximum speed of 10 mph. No ATVs would be 
recommended for children under the age of 6 years. All references to 
engine size, such as those in the LOUs, would be eliminated.
    Based on an analysis by the CPSC Division of Human Factors (ESHF), 
speed--not engine size--is a more appropriate control variable for 
determining which ATVs should be recommended for children under age 16 
years. In fact, limiting engine size could be counterproductive. There 
is some evidence that limiting the power of youth models by controlling 
engine size can, in some circumstances, make ATV riding less safe. As 
one example, underpowered children's models have a greater potential 
for stalling when going uphill.
    It is also likely that engine size restrictions discourage some 
people from purchasing appropriate ATVs for young riders. If the ATV 
engine lacks sufficient power for things such as acceleration or hill 
climbing, some young riders may resist riding these ATVs and instead 
ride adult ATVs. Additionally, the frame size of the current ATVs with 
less than 90cc engines might not comfortably fit ``large'' children. 
Some adolescents between the ages of 12 and 14 are larger than some 
adults; these adolescents may resist using an ATV with a frame designed 
to fit a much smaller person. According to ESHF, ``fitting the [ATV] 
frame anthropometrically to the user is one of the most important 
factors for youth ATVs. If the frame is too small, the youth will be 
discouraged from riding the ATV both physically and socially.'' This 
may explain, at least in part, the fact that relatively few children 
actually ride the youth models. Based on the 2001 exposure survey, only 
about 20 percent of children under 16 years of age who drove ATVs drove 
youth models.
    Based on these considerations, eliminating the engine size 
limitations from youth models may enhance safety. It might lead to some 
ATV manufacturers introducing a wider variety of youth models, 
including models with larger frames and more powerful engines. With 
larger frames and more power, it is possible that more young riders 
will be willing to accept ATVs with the recommended speed restrictions. 
It is also likely that more parents would be willing to purchase youth 
models with larger frames that could be used by children for a longer 
period of time without replacement. Moreover, increased acceptance of 
ATVs with the age-recommended speed restrictions could reduce the 
number of ATV-related injuries.\12\
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    \12\ It should be noted that manufacturers are not now 
prohibited from producing youth ATVs on larger frames. However, 
increasing the options available to manufacturers in designing youth 
ATVs should increase the probability that manufacturers might 
manufacture youth ATVs in a wider range of sizes.
---------------------------------------------------------------------------

    Increasing the number of youth ATVs with larger frames could also 
increase safety by increasing the proportion of young ATV drivers that 
receive formal ATV safety training. Most formal ATV safety training 
programs, such as that run by the ATV Safety Institute, will not train 
children under the age of 16 unless they are riding an appropriate 
youth model. Therefore, children who do not have ATVs with less than 
90cc engines cannot receive formal training. If simplifying the age 
recommendations for ATVs leads manufacturers to introduce more ATVs 
with the recommended speed restrictions for young riders and, as a 
result, more children begin riding youth ATVs, it will be possible for 
more young riders to receive formal safety training. As discussed more 
fully below, formal training can act as a surrogate for experience and 
thereby reduce the risk of injury.
    The speed limitations for ATVs intended for youths should not 
impose substantial additional costs on manufacturers because they are 
similar to those already in the voluntary standard (ANSI/SVIA-1-2001). 
Moreover, the speed limitations in the proposed standard are less 
restrictive than the requirements for youth ATVs specified in the LOUs, 
since they do not include the engine size limitations. Consequently, 
the Commission believes that this provision of the proposed standard 
increases the potential for safety in the form of reduced injuries and 
deaths, without imposing additional costs and burdens on 
manufacturers.\13\
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    \13\ ANSI/SVIA-1-2001 does not have an age category that 
corresponds to ``Junior ATV'' in the proposed rules. CPSC staff 
believe that the ``Junior ATV'' market will be a very small segment 
of the ATV market.
---------------------------------------------------------------------------

    Warnings and Safety Information to be Provided to Consumers. 
According to ESHF, hazard communications ``are crucial for products 
with hazards that cannot be eliminated through design.'' The proposed 
rule requires ATV manufacturers, distributors, or dealers to provide 
several safety warnings to consumers. These will consist of labels or 
hang tags that, among other things, advise consumers of the age 
recommendations for ATVs, warn that it is unsafe to allow children to 
operate

[[Page 45921]]

ATVs intended for adults or older children, and warn that it is unsafe 
to carry passengers on an ATV (with the exception of specially designed 
tandem ATVs). This information will also be required to be contained in 
the owner's manuals and in a video to be provided to each consumer.
    The ATV manufacturers with the greatest share of the market are 
already conforming to this requirement, which is included in the LOUs 
negotiated with the major ATV manufacturers. Therefore, this provision 
will not impose any new costs on these manufacturers. For the 
manufacturers that are not now in conformance, the cost to bring 
themselves into conformance will be low on a per unit basis. The cost 
of designing, printing, and attaching a label or hang tag or adding 
pages in an owner's manual is low. Even for manufacturers with a very 
low sales volume, the cost of adding the required warnings will be 
probably no more than a few dollars per vehicle.
    The major manufacturers are already providing the safety video and 
so the proposed standard will have no impact on their costs. For 
manufacturers that are not currently providing a safety video to their 
consumers the costs could be higher. The cost of duplicating a video or 
DVD is no more than a few dollars. However, the cost of producing the 
safety video could be several thousand dollars. For a manufacturer or 
distributor with a low sales volume, this could be a more significant 
cost. The cost or impact could be lower if a third party video could be 
licensed or shared by many small manufacturers or distributors.
    Manufacturers would also be required to keep a copy of the owner's 
manuals and the safety video for each model on file for at least 5 
years. It is likely that many manufacturers would do this even in the 
absence of a mandatory rule. The storage costs of these items probably 
would not exceed $10 per model. The cost could be lower since the same 
safety video would likely be used for all ATV models produced or 
imported by a manufacturer and could be used for several years. Owner's 
manuals also might cover more than one model.
    The benefit of this provision is that it will ensure that all 
consumers receive some basic safety and hazard information regarding 
such things as the risk of children riding ATVs not appropriate for 
their age and carrying passengers on ATVs not designed for carrying 
passengers. Although this benefit cannot be quantified, the following 
example sheds some light on the potential impact. The risk of injury 
for riders under the age of 16 driving adult ATVs is about twice the 
risk of injury of those who are driving age-appropriate ATVs.\14\ In 
2001, the societal cost of ATV related injuries and fatalities 
involving children under the age of 16 was about $3.6 billion. 
Therefore, although it is not known how effective these warnings are at 
reducing children from riding adult ATVs, if they reduced the number of 
children riding adult ATVs enough to reduce the number of ATV-related 
injuries to children (either by parents not allowing a child to drive 
an adult ATV or by purchasing an appropriate ATV for young riders) by 
even a small amount, the benefits of these warnings could exceed the 
costs. For example, if they reduced the injuries by only one-half of 
one percent, this would still amount to a benefit of $25 over the life 
of an ATV.\15\
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    \14\ According to information provided by the CPSC Directorate 
for Epidemiology and included in the 2005 CPSC Briefing Package on 
ATVs (regarding Petition No. CP-02-4/HP-02-1, Request to Ban All-
Terrain Vehicles Sold for Use by Children Under 16 Years Old), risk 
of injury to children under 16 driving adult ATVs was 18.6 per 
thousand drivers compared to 9.6 per thousand drivers for children 
driving youth ATVs.
    \15\ One-half of one percent of $3.6 billion divided by the 5.6 
million ATVs of all types in use in 2001 is $3.21. Over the expected 
9-year life of an ATV this comes to about $25 discounted at 3 
percent per year.
---------------------------------------------------------------------------

    Disclosure Statement to Consumers About the Risks to Children 
Riding Adult ATVs. The proposed rule would require that ATV retailers 
provide purchasers of adult ATVs a written statement that (1) clearly 
states adult ATVs are not intended for the use of children under the 
age of 16 and (2) provides the consumer with specific information on 
the possible injury consequences of allowing children to ride adult 
ATVs. A similar disclosure statement would be provided purchasers of 
youth ATVs advising them to monitor their child's ATV driving to ensure 
that the child is capable of and does drive the ATV safely. This 
requirement is a direct response to the high risk of injury to children 
riding adult ATVs, and the comments of many parents (including some 
whose children died on adult ATVs) that they had never been warned of 
the risks. This disclosure would be provided to the purchaser and 
signed before the purchaser completes or signs other documents related 
to the sale, such as sales contracts or financing agreements. Consumers 
will be required to sign the statement to acknowledge that they were 
warned. Dealers would be required to keep the signed disclosure 
statement on file for at least 5 years after the purchase so that 
compliance with the requirement for the disclosure statement can be 
monitored. Dealers would also be required to send a copy of the signed 
disclosure statement to the manufacturer, who would also be required to 
keep the statement on file for at least 5 years after the purchase.
    The benefits of the disclosure statement are twofold. First, it 
will help consumers make a more informed choice when they purchase a 
new ATV. Second, as suggested by the ESHF analysis, signing the 
document may discourage some purchasers from allowing children to ride 
their adult ATVs. As shown in the above discussion of ``Warnings,'' the 
injury costs associated with children riding adult ATVs are 
significantly higher than the injury costs associated with children 
riding age-appropriate ATVs. Even if the disclosure statement could 
reduce the number of injuries by one-half of one percent, it could 
still produce a benefit of $25 over the life of an ATV.
    The cost of this disclosure statement is estimated to be 
approximately $0.95 per ATV sold.\16\ Generally, when ATVs are sold 
there is already some amount of paperwork generated, including purchase 
contracts and financing agreements. Therefore, the marginal cost of an 
additional form is minimal. Moreover, under the LOUs manufacturers 
already require their dealers to inform consumers of the age 
recommendations for ATVs and to monitor dealer compliance with these 
recommendations. It is possible that the enforcement mechanism provided 
by this disclosure statement would be no more costly than the current 
methods of monitoring compliance with the LOUs.
---------------------------------------------------------------------------

    \16\ This estimate is based on it taking approximately 2 minutes 
to complete the form and distribute the copies to the purchaser, the 
manufacturer, and the retailer's files and that the time is valued 
at $21.32/hour, which is the average wage of motor vehicle sales 
workers in July 2004, as reported by the U.S. Department of Labor, 
Bureau of Labor Statistics, adjusted for inflation. Other costs, 
such as the cost of the blank forms and postage, may add another 
$0.24 to the cost.
---------------------------------------------------------------------------

    Provision of Training for ATV Purchasers. The training requirement 
of the proposed rule would require manufacturers or distributors of 
ATVs to provide a training certificate to each purchaser of a new ATV 
that entitles the purchaser and any qualified member of his or her 
immediate family to attend an authorized training course, ``free'' of 
charge. Of course, the training will not be free in terms of the 
trainee's time. The trainee would have to devote a day to the training 
process, and may have to transport an ATV to the training site. In the 
case of children, parents would likely need to become involved by

[[Page 45922]]

providing transportation to the training site. Hence, the provision of 
the ``free'' certificate entitling the holder to training can be 
thought of as a subsidy to encourage new purchasers to take the 
training.
    The cost of the training to be provided will depend upon a number 
of factors, such as the length of the course, the number of trainers, 
the number of enrollees, and others. However, if the training is 
similar to that currently provided by the ATV Safety Institute (ASI), 
the value of the training certificate entitling the holder to a 
training course might be $75 to $125. This is what ASI currently 
charges children and adults respectively for the course, as indicated 
at their Web site (www.atvsafety.org). Thus, the value of the training 
subsidy, under this requirement of the proposed standard, might be $75 
to $125 per trainee.
    The requirement that manufacturers offer free training is 
essentially a requirement that they subsidize ATV safety training. The 
purpose of a subsidy is to lower the cost of a product to a person to 
induce them to purchase more of the product. It can be an appropriate 
policy when it is believed that consumers will not purchase the 
socially optimal quantity of the good without some intervention. A 
consumer might not purchase the optimum quantity of a good for a 
variety of reasons, such as some of the societal benefit of purchasing 
the good (or undertaking an activity) might go to people other than the 
direct consumer or if the consumer underestimates the value of the good 
to himself or herself.
    In the case of ATV safety training, it is likely that many 
consumers underestimate the benefits of training. According to ESHF, 
ATVs can appear ``deceptively easy'' to operate but in fact require 
``repeated practice to drive safely.'' Even at low speeds ATV drivers 
need to have ``situational awareness necessary to negotiate hazards on 
unpaved terrain'' and make ``quick judgments'' with regard to steering, 
speed, braking, weight shifting and terrain suitability. Consumers who 
underestimate the difficulty of riding ATVs may conclude that the cost 
of the training, including the costs in terms of time and travel, will 
exceed the benefits. It is likely that more consumers will be induced 
to take training if the manufacturers emphasize the importance of 
training to consumers and offer them free training.
    The benefits of training to new ATV drivers could be substantial. 
ESHF indicates that training may act as a surrogate for experience 
because it exposes new ATV drivers to situations they will encounter 
riding off-road and teaches them the proper driving behavior to 
navigate those situations. The Directorate for Epidemiology estimates, 
based on the results of the 2001 ATV injury and exposure surveys, that 
formal training may reduce the risk of injury by about half. The 
application of this result, in combination with the HF finding that 
training may function as a surrogate for driving experience, allows us 
to quantify the possible benefits of training.
    A recent ATV risk analysis found a strong inverse relationship 
between driving experience and the risk of hospital emergency 
department (ED) treated injury. Based on this analysis, risk in the 
first year of riding was about 65 percent higher than the risk in the 
second year, and about twice the risk of the third year. Assuming that 
formal training reduces risk by half in the first year of ATV use 
(i.e., acts as a surrogate for experience), the risk of ED injury for a 
male driver under the age of 36 on a 325 cc four-wheel ATV, would 
decline by about 0.0083. According to the CPSC's Injury Cost Model, the 
average societal cost of an ATV-related ED injury amounted to about 
$60,250 in 2004 dollars. Consequently, the expected benefits of 
training would amount to about $500 (0.0083 * $60,250) per new rider 
taking the training. The risks for female drivers are less than for 
males. Using the same approach, the ED risk reduction for new female 
riders (under age 36, and on a 325 cc, four-wheel ATV) in the first 
year would be about 0.0029. The expected benefit of training an 
inexperienced female driver would therefore be about $175 (0.0029 * 
$60,250). Given that about 63 percent of drivers were male in 2001, the 
average risk reduction for male and female drivers would amount to 
about 0.0063; the expected benefits would average about $380 (i.e., 
0.63($500) + 0.37($175)).
    In addition to preventing non-fatal ED injuries, training would 
also likely reduce ATV-related injuries initially treated outside of 
hospital EDs and ATV-related deaths (see the appendix). While the risk 
model formally applies to ED injuries, it does not seem unreasonable to 
assume that the impact of training on non-ED injuries and deaths would 
be similar. Consequently, if the relationships in the risk model apply 
proportionally to non-ED injuries and deaths, the expected non-fatal 
injury reduction benefits for a typical new driver (weighted by the 
proportion of male and female drivers) would amount to about $220 and 
the expected benefits associated with the reduction in deaths would 
amount to about $170 per trainee.\17\
---------------------------------------------------------------------------

    \17\ These calculations were based on information provided in 
the appendix to the preliminary regulatory analysis. According to 
the appendix, there were about 1.49 non-ED injuries for every ED 
injury in 2001. If the reduction in risk associated with preventing 
non-ED injuries were proportional to the reduction in the ED injury 
risk, the reduction would amount to 0.0093 (0.0063 * 1.49). And, 
since the costs of the non-ED injuries averaged about $23,700, the 
expected benefits from preventing these injuries would be about $220 
(0.0093 * $23,700) per trainee. Similarly, there were about 0.0054 
deaths for every ED-injury. Consequently, if the reduction in the 
fatality risk were proportional to the reduction in the ED injury 
risk, the reduction would amount to about 0.000034 (0.0063 * 
0.0054). Assuming a value of statistical life of $5 million, the 
expected benefits of reductions in the fatality risk would amount to 
about $170 per trainee.
---------------------------------------------------------------------------

    Based on this analysis, the expected benefits of training new 
riders could therefore amount to about $770 ($380 + $220 + $170) per 
rider. Factoring in reasonable estimates of the costs of the training 
to the consumers, the benefit of training for new riders should exceed 
the costs. For example, if the course fee is $125 and a trainee must 
give up 10 hours to take the course (including transportation to and 
from the training site) then the cost of training to a consumer who 
valued his or her time at $17 per hour would be about $295.\18\ 
Consequently, the net benefits of training to this consumer would be 
about $475.
---------------------------------------------------------------------------

    \18\ The SVIA sponsored training for new riders is approximately 
one-half day in length. Assuming that a trainee must give up 10 
hours to take the training allows for travel to and from the site. 
The ``value of time'' estimate is based on the average net 
compensation for 2004 as reported by the Social Security 
Administration ($34,197.63 for the year, which is about $17 per 
hour).
---------------------------------------------------------------------------

    A major assumption in this cost-benefit comparison is that riders 
taking advantage of the training program would be inexperienced drivers 
who would take the training early in the first year of ATV riding. The 
expected benefits would be lower if the training were taken later. For 
example, if the analysis just completed had assumed the training were 
taken in the second year of ownership (rather than the first), the 
estimated gross benefits would have been about $470. Note, however, 
that while net benefits would have been lower (about $175), they are 
still positive. Hence even if some riders take the training after the 
first year of riding, the benefits of the training are still likely to 
exceed the costs. This suggests that the results of the cost-benefit 
comparison may not be very sensitive to the timing of the training.
    ATV manufacturers that account for about 90 percent of all U.S. ATV 
sales already offer free training to their

[[Page 45923]]

consumers.\19\ Therefore, the primary impact of this requirement will 
be to extend the free training offer to people who purchase ATVs from 
manufacturers or importers that do not now offer free training. These 
manufacturers account for about 10 percent of total domestic ATV sales.
---------------------------------------------------------------------------

    \19\ In addition to offering free training, some ATV 
manufacturers offer additional incentives to encourage first-time 
buyers to take ATV safety training. For example, in addition to 
providing free training, some manufacturers give first-time 
purchasers an additional $100 if they complete the training. Some 
manufacturers also offer the free training to other members of the 
purchaser's family.
---------------------------------------------------------------------------

    In spite of the offers of free training and other incentives, few 
ATV riders take formal safety training. Based on the 2004 Rider 
Training Summary provided by the SVIA, about 35 percent of first-time 
ATV purchasers who were offered this training by member firms took 
advantage of it. Since first-time purchasers accounted for about 20 
percent of new ATV purchases, this suggests that only about 7 percent 
of all purchasers of new ATVs actually took the training. Assuming that 
this pattern will hold for the manufacturers or importers that are not 
now offering free training, one can expect that perhaps 7 percent of 
their consumers will take the training. Approximately 950,000 ATVs are 
sold annually. Because manufacturers that do not already offer free 
training account for about 10 percent of the market, this provision 
would likely increase the number of riders trained annually by 6,000 to 
7,000 (.07 x 92,000). If the benefits of the training are $770 per 
trainee and the cost of the training is $295, this could result in a 
net benefit of about $3.3 million annually (($770-$295) x 7,000).
    There would be some recordkeeping costs imposed on retailers and 
manufacturers by the proposed rule. The retailers would be required to 
prepare a training certificate that entitles each qualified member of 
the purchaser's immediate family and obtain the purchaser's signature 
on a form that acknowledges the receipt of the free training 
certificate. The signed original of this form must be kept by the 
retailer and copies provided to both the purchaser and the 
manufacturer.
    The cost of preparing and filing the training certificates and 
acknowledgement forms is estimated to be about $1.38 per ATV sold. This 
is based on it taking approximately 1 minute to complete the training 
certificate and the acknowledgement form. An additional minute might be 
required to distribute the copies of the forms to the purchaser, the 
manufacturer, and the retailer's files. Time is valued at $21.32.\20\ 
The cost of the blank forms, postage, and other supplies, accounts for 
the remaining $0.31.
---------------------------------------------------------------------------

    \20\ This is the average hourly wage of motor vehicle sales 
workers reported by the Bureau of Labor Statistics in July 2004 
(inflated to 2006 dollars).
---------------------------------------------------------------------------

    Means for Reporting Safety Complaints and Concerns. The proposed 
rule will require that each manufacturer provide consumers with a means 
of relaying safety or hazard related information concerning an ATV to 
the manufacturer or importer. Manufacturers must make available for 
this purpose a domestic telephone number and mailing address, and a Web 
site or email address. This contact information must be contained in 
the owners' manuals which will also be required to provide consumers 
with the instructions for reporting safety or hazard information to the 
CPSC.
    This provision could provide manufacturers with an early alert if 
there is a potential hazard or defect with one of their products. This 
could allow manufacturers to take preemptive actions to minimize the 
risk of injury due to the problem. However, this benefit cannot be 
quantified because we cannot predict how frequently such a problem will 
occur or how reliably it will be reported to the manufacturer by 
consumers.
    However, the cost of providing a means to report safety related 
problems is low. Virtually all manufacturers or distributors that sell 
ATVs in the U.S already have domestic telephone numbers, addresses, and 
Internet sites. The additional cost of inserting this information in an 
owner's manual is very low. In fact, many manufacturers and 
distributors already do this.
    Discussion. CPSC has been monitoring ATV-related injuries and 
promoting ATV safety since the early 1980s. Over that time, it has 
negotiated several voluntary agreements with major ATV manufacturers 
that have improved the safety of ATVs, encouraged formal safety 
training for ATV riders, and promoted safe ATV riding practices. 
However, as the ATV market has grown, new manufacturers and importers 
have entered the market that are not party to any voluntary agreements 
with the CPSC with regard to ATV safety. As the number of new 
participants increases, it becomes increasingly difficult to maintain 
voluntary agreements with all manufacturers and importers. In the 
absence of either mandatory requirements or voluntary agreements, CPSC 
has no effective mechanism for enforcing safety standards and 
practices. Moreover, if the market share of manufacturers and importers 
that are not party to any agreement with the CPSC increases, 
manufacturers that are parties to agreements may resist renewing the 
voluntary agreements.
    The proposed rule would ensure that key elements of the voluntary 
agreements are extended to all ATV manufacturers and distributors. 
Because manufacturers and distributors that account for about 90 
percent of the market already conform to these requirements (and much 
of the remaining 10 percent conform to at least some of the 
requirements) the proposed standard may not significantly lower the 
number of injuries from their current levels. However, it will 
establish some minimum enforceable standards that all firms that sell 
ATVs in the U.S. will be expected to meet.
    Where the benefits and costs of the individual provisions can be 
quantified, this analysis has shown that the benefits are expected to 
exceed the costs (i.e., a ban on 3-wheel ATVs and training 
inexperienced ATV riders). For other provisions, the costs of complying 
with the standard will be low on a per unit basis (i.e., providing 
warning labels and safety information at the point of sale, a safety 
video, and means for reporting safety hazards or concerns to the 
manufacturer). Although the benefits of these cannot be quantified, 
they provide consumers with information that may help them choose an 
appropriate ATV for the rider and may reduce some unsafe riding 
behaviors. The costs of complying with each element of the requirements 
of the mechanical standard have not been quantified. However, each of 
the requirements would provide some safety benefits. Moreover, the vast 
majority of ATVs sold are already thought to be in compliance.

5. Alternatives to the Proposed Rule

    The Commission could consider alternatives to the proposed rule 
including continuing to pursue voluntary actions rather than a 
mandatory rule. Other alternatives include adopting some parts of the 
proposed rule, but not others. Additionally, the staff considered other 
requirements for headlamps and training.
    Not Adopting a Mandatory Rule and Continuing to Pursue Voluntary 
Actions. CPSC has been successful in gaining the cooperation of the 
largest ATV manufacturers and some of the smaller ones in working 
voluntarily to reduce the number of ATV-related injuries. However, 
entry into the ATV market is relatively easy. The number of

[[Page 45924]]

manufacturers and importers has increased substantially in even the 
last few years: from about 7 manufacturers and importers in 1995, to 
more than 87 today. As the number of manufacturers increases it will be 
increasingly difficult to negotiate voluntary agreements with every 
one. To the extent that some new entrants do not conform to the 
agreements, there could be some economic pressure on others to limit 
their cooperation in the future.
    It should also be noted that promulgating a mandatory rule does not 
rule out future CPSC efforts, either voluntary or mandatory, to further 
improve ATV safety.
    Promulgating Portions of the Proposed Rule. Each of the major 
provisions of the proposed rule (e.g., mechanical requirements, ban of 
3-wheel ATVs, and so on) could be considered independently. If the 
Commission believes that the benefits of any of the individual 
provisions do not bear a reasonable relationship to the costs, or for 
some other reason should not be mandated, it could exclude those 
provisions from a proposed rule.
    Allowing Headlamps on Youth ATVs. The justification for the 
prohibition of headlamps on youth ATVs is to discourage children from 
riding after dark. Riding after dark is believed to be a significant 
risk factor for children. Also it can be difficult to supervise 
children riding ATVs in low light conditions. The Commission believes 
that allowing headlamps on youth ATVs would encourage children riding 
after dark.
    There is a counter argument that if some children ride after dark 
or in low light conditions anyway (or if they do not return from a trip 
begun during daylight before dark) then allowing headlamps on youth 
ATVs could reduce the risk of injury by better illuminating the rider's 
path. It is also possible that the prohibition could cause some young 
teens to ride adult ATVs if they were involved in some ATV-related 
activities with parents or older siblings after dark. This could 
increase the injury risk since, as described earlier, the risk of 
injury for a child riding an adult ATV is twice that of riding a youth 
ATV.
    The Commission does not have the data to provide statistical 
support to either argument. However, in the judgment of ESHF, the 
decrease in injuries resulting from discouraging after-dark riding by 
children by prohibiting headlamps on youth ATVs probably outweighs the 
increase in risk to those children who might still occasionally ride 
after dark.
    Not Mandating Stop Lamps. As an alternative to mandating stop 
lamps, the CPSC considered following ANSI/SVIA-1-2001 by allowing, but 
not requiring, stop lamps on all ATVs. Currently, CPSC staff believes 
that most adult ATVs have stop lamps, but most youth ATVs do not. If 
stop lamps were not mandated, the practice of installing stop lamps on 
adult ATVs, but not youth models, is likely to continue. This is 
probably due in part to the lower added cost of installing stop lamps 
on adult ATVs, where some of the steps can be combined with the 
installation of tail lamps that are already required.
    The benefit of stop lamps is that they can alert a driver when the 
driver of a leading vehicle has applied his or her brakes, which can 
increase the chance of the trailing driver reacting appropriately, 
either by applying his or her own brakes or taking evasive maneuvers 
and avoiding a rear-end collision. It can be anticipated that there are 
situations where ATVs would be traveling in a row on a trail and a 
driver may stop unexpectedly. While the staff has not been able to 
quantify the benefits, in some cases, the activation of a stop lamp may 
help to avoid a collision.
    The cost of including stop lamps on ATVs is the cost of the 
materials (e.g., bulbs, switches, wiring, and lenses) and labor to 
install the stop lamps during the manufacturing process, and the cost 
of redesigning the body of the ATV to accommodate the stop light 
housing. This cost has not been quantified. Although the cost is not 
expected to be very expensive in absolute terms, the cost could amount 
to several dollars or more per ATV, especially in the case of youth 
ATVs that are not currently equipped with any wiring for lighting.
    More Stringent Training Requirements. The CPSC considered including 
more stringent training requirements in the proposal, including 
requiring that at least 8 hours of training, along with specific 
requirements for written and riding tests, be provided, and that the 
student-teacher ratio not exceed 4:1. The minimum time requirements 
would be intended to ensure that there would be sufficient time to 
cover all topics that should be covered in a safety course and to give 
each student enough time to practice each skill until they had reached 
a satisfactory level of proficiency. The written and riding tests would 
provide a mechanism for the instructor to give the student specific 
feedback concerning his or her performance. A student-teacher ratio of 
4:1 would ensure that each student gets individual attention.
    However, there are drawbacks to mandating the more stringent 
requirements outlined above. The training program of the ATV Safety 
Institute, which is the leading ATV safety training provider, is 
approximately one-half day in length, there are no written or driving 
tests, and a 4:1 student-teacher ratio is encouraged but not required. 
Therefore, mandating the more stringent requirements could increase the 
cost of the training from its present level. Mandating a minimum length 
for the training and mandating a lower student-teacher ratio could 
possibly reduce the availability of training. Moreover, some new ATV 
purchasers who are willing to set aside the time to participate in a 
one-half day training program might not be willing to set aside a full 
day for the program, which for some trainees could include an overnight 
stay if the training site was a substantial distance from their home.

J. Paperwork Reduction Act

    The proposed standards will require manufacturers (including 
importers) to perform testing and require manufacturers and retailers 
to keep records. For this reason, the rules proposed below contain 
``collection of information requirements'' as that term is used in the 
Paperwork Reduction Act, 44 U.S.C. 3501-3520. Therefore, the proposed 
rule is being submitted to the Office of Management and Budget 
(``OMB'') in accordance with 44 U.S.C. 3507(d) and implementing 
regulations codified at 5 CFR 1320.11. The estimated costs of these 
requirements are discussed below.

1. Testing and Recordkeeping Costs

    Manufacturers. The proposed rule would require manufacturers 
(including importers) to perform, or cause to be performed, testing 
sufficient to ensure that each ATV conforms to the requirements in the 
proposed rule. The requirements in the proposed rule are based on ANSI/
SVIA-1-2001.
    As discussed in section I above, the specified tests will require 
some time and equipment. They are estimated to take one day (8 hours) 
or less and would be conducted by at least one other mechanical 
engineer. If the total labor costs were $90 per hour, then the cost of 
conducting the tests would be about $720 per model (8 hours x $90). As 
discussed in the Preliminary Regulatory Analysis above, staff estimates 
the cost of the equipment used in the testing to be about $500. 
Documentation of the tests could add perhaps another $100 to the cost 
of the testing and record keeping.
    These estimates suggest that the full testing and recordkeeping 
costs of the proposed rule could be about $1,320 per

[[Page 45925]]

model. Based on staff's identification of 131 different ATV models for 
the 2001 and 235 different ATV models for the year 2003 and the 
significant increase in sales of ATVs in recent years, there might be 
500 different ATV models today. Therefore, the full testing and 
recordkeeping costs could be $660,000 per year, assuming models are 
changed annually.
    Because several ATV manufacturers conform to ANSI/SVIA-1-2001 and 
should already be performing the testing called for in the proposed 
rule, the proposed rule will not impose additional testing burdens on 
these manufacturers. The staff estimates that these manufacturers 
account for at least 150 ATV models. Therefore, the testing and 
recordkeeping cost that could be attributed to the proposed rule that 
would not be incurred in the absence of the rules, could be less than 
$462,000 annually ($660,000 - 150 x $1,320).
    Retailers. Retailers would be required to provide certificates for 
free training as discussed above. Additionally, each retailer would be 
required to maintain a record of the age acknowledgment statement and 
the training acknowledgment statement. The retailer will be required to 
write in the vehicle identification number on the training certificates 
that will be provided to the purchaser. The purchaser will be required 
to sign the original of each form and the retailer will have to 
maintain the originals in his or her files for 5 years after the date 
of the purchase. A copy of the age disclosure statement and training 
availability statement must also be sent to the manufacturer (or 
importer). The forms must be made available to CPSC representatives 
upon request.
    These records are not complex and simply provide some basic 
information to the consumer (i.e., the minimum age one should be to 
ride the particular ATV and contact information for free ATV safety 
training). No information needs to be collected by the retailer, other 
than the consumer's signature. No particular skill will be required to 
generate or maintain these records. However, retailers that sell ATVs 
over the internet, or in other settings where a representative of the 
retailer does not meet personally with the consumer, may have to 
develop new procedures for obtaining the consumers' signatures. These 
might include not shipping the ATV until the consumer has returned the 
signed originals to the retailer.
    The cost of preparing and filing these records is estimated to come 
to about $2.33 per ATV sold. This estimate assumes that an average of 3 
forms and training certificates will be required for each ATV: The age 
acknowledgement form, the availability of training acknowledgement 
form; and an average of 1 training certificate. It is further assumed 
that each form takes an average of one minute to complete. An 
additional minute will be required for the retailer to send copies of 
the forms to the manufacturer and the manufacturer will require an 
additional minute to properly file the copies. The time is valued at 
$21.32 per hour.\21\ The cost of the blank forms themselves, postage, 
envelopes, and other supplies might add another $0.55 to the cost.
---------------------------------------------------------------------------

    \21\ This is the average hourly wage of motor vehicle sales 
workers reported by the Bureau of Labor Statistics in July 2004 
(inflated to 2006 dollars).
---------------------------------------------------------------------------

    If 950,000 ATVs are sold annually, the total recordkeeping cost on 
retailers will be about $2.2 million annually. The number of ATV 
retailers is estimated to be about 5,000. Therefore, the recordkeeping 
costs will average about $440 per retailer annually. Training 
certificates are already provided with about 90 percent of the ATVs 
sold. Therefore, about $0.3 million of this cost is already being 
incurred.

K. Initial Regulatory Flexibility Analysis

1. Introduction

    The Regulatory Flexibility Act (``RFA'') generally requires that 
agencies review proposed rules for their potential economic impact on 
small entities, including small businesses. Section 603 of the RFA 
calls for agencies to prepare and make available for public comment an 
initial regulatory flexibility analysis describing the impact of the 
proposed rule on small entities and identifying impact-reducing 
alternatives. Accordingly, the staff prepared an initial regulatory 
flexibility analysis which is summarized below.

2. Reporting, Recordkeeping and Other Compliance Requirements

    It is difficult to estimate accurately the number of small entities 
that could be impacted for two reasons. One reason is that as noted 
below, the number of firms participating in the market has increased 
significantly over the last 10 years. Secondly, it is relatively easy 
for a firm to enter and exit the market. It is certain, however, that 
the ATV market has grown significantly in recent years.
    Manufacturers (and Importers). The proposed rule imposes some 
requirements on manufacturers (which includes importers) of ATVs. The 
number of firms that manufacture or import ATVs is increasing. From the 
time ATVs were first introduced in the early 1970s until about 2000, 
virtually all ATVs were manufactured and distributed by a few large 
firms. Since 2000, the number of smaller importers has increased 
significantly. The staff now believes that there are at least 87 
manufacturers or importers that supply ATVs to the U.S. market. 
However, seven large manufacturers still account for about 90 percent 
of the U.S. ATV market. Thus, small manufacturers or importers have a 
combined market share of perhaps 10 percent of the market.\22\
---------------------------------------------------------------------------

    \22\ According to the U.S. Small Business Administration size 
standards, an ATV manufacturer (NAICS code 336999) with fewer than 
500 employees would be considered small and an ATV wholesaler (NAICS 
code 423110) with fewer than 100 employees would be considered 
small.
---------------------------------------------------------------------------

    Many of the new entrants are small importers that import ATVs from 
manufacturers based in Korea, Taiwan, and China. Virtually all 
manufacturers and importers of ATVs, including the small ones, are 
believed to manufacture and import products other than ATVs. These 
other products often include other motorized vehicles, such as 
motorcycles, motor scooters, go-carts, and mini bikes. In fact, of the 
ATV import operations that CPSC staff inspected in 2005, none sold ATVs 
exclusively and most received a majority of their revenue from other 
products.
    Conducting the tests to ensure that ATVs comply with the proposed 
mechanical standards will require professional engineering services. 
ATV manufacturers probably have qualified engineers on staff or can 
obtain the services of qualified engineers to conduct the tests. The 
documentation of the tests would likely be completed by the engineer 
conducting the tests.
    As discussed in sections I and J above, estimates suggest that the 
full testing and recordkeeping costs of the proposed rule could be 
about $1,320 per model. Staff estimates that there might be 500 
different ATV models today. Therefore, the full testing and 
recordkeeping costs could be $660,000 per year, assuming models are 
changed annually.
    As discussed above, the proposed rule will not impose additional 
testing burdens on the manufacturers who already conform to ANSI/SVIA-
1-2001. The staff estimates that these manufacturers account for at 
least 150 ATV models. Therefore, the testing and recordkeeping cost 
that could be attributed to the proposed rule that would not be 
incurred in the absence of the rule, could be less than $462,000 
annually ($660,000 - 150 x $1,320). The annual cost of the testing per 
small manufacturer could be $5,000 to $6,000

[[Page 45926]]

assuming an average of 4 to 5 models require testing each year.
    Importers that do not manufacture ATVs can probably work with the 
foreign manufacturers to ensure that the ATVs meet the mechanical 
requirements and the documentation is prepared and transferred to the 
importer. Where the compliance testing is conducted by persons not 
fluent in English, an importer may have to employ the services of a 
qualified translator who can translate the records accurately into 
English.
    The requirement that all ATVs be equipped with a stop lamp would 
impose some cost burden on ATV manufacturers. Although many adult ATVs 
are already equipped with stop lights, most youth ATVs are not. Many 
small manufacturers and importers supply youth ATVs to the U.S. market. 
The cost of including stop lamps on ATVs includes the cost of the 
materials (e.g., bulbs, wiring, switches, lenses, and housing), the 
cost of the labor to install the materials, and the cost of modifying 
the bodies of ATVs to accommodate stop lamps. Stop lamps are standard 
on many different vehicles and, as noted, are included on most adult 
ATVs. However, CPSC has not developed firm estimates of the added cost 
to equip youth ATVs with stop lamps.
    The requirement that youth ATVs be equipped with automatic 
transmissions could impose some cost on manufacturers whose youth 
models are not already so equipped. However, most youth ATV models, 
including those from small importers, already appear to be equipped 
with automatic transmissions. The models identified by the staff that 
did not have automatic transmissions were some ATVs intended for 
children 12 years of age or older that were equipped with automatic 
clutches. An automatic clutch, which still requires the driver to 
manually select the appropriate gear, would not meet this requirement 
for youth ATVs.\23\
---------------------------------------------------------------------------

    \23\ The three youth ATV models equipped with automatic clutches 
were produced by three of the large ATV manufacturers.
---------------------------------------------------------------------------

    The cost of providing the required warning labels, hangtags, and 
additional pages in owner's manuals is low. Many, if not most, 
manufacturers already comply, at least to some degree, with this 
requirement. However, some foreign manufacturers may require the 
services of a qualified translator to ensure that the labels and 
manuals are written in clear and understandable English. Other special 
skills probably will not be required since the required safety content 
of the warning labels, hangtags, and manuals is specified in the rule.
    The proposed rule requires that manufacturers provide purchasers 
with a video that provides safety information concerning ATVs. The 
major manufacturers already provide the safety videos that conform to 
this requirement. The cost of duplicating a video or DVD is no more 
than a few dollars. However, the cost of producing the safety video 
could be several thousand dollars. The impact on small importers could 
be reduced if a third party video could be licensed or shared by many 
small manufacturers or importers.
    Manufacturers would also be required to keep a copy of the owner's 
manuals and the safety video for each model on file for at least 5 
years. It is likely that many manufacturers would do this even in the 
absence of a mandatory rule. The storage costs of these items probably 
would not exceed $10 per model. The cost could be lower since the same 
safety video would likely be used for all ATV models produced or 
imported by a manufacturer and could be used for several years. Owner's 
manuals also might cover more than one model.
    The proposed rule requires manufacturers to offer ``free'' ATV 
safety training to each purchaser of a new ATV and to each member of 
the purchaser's family who meets the age qualification to drive the 
ATV. The manufacturer or importer must make arrangements with a 
training provider to provide this training. The training providers must 
offer their services reasonably close to where the purchaser lives and 
within a reasonable time of the purchase. There are groups, such as the 
ATV Safety Institute (sponsored by the Specialty Vehicles Institute of 
America (or ``SVIA'')) that offer ATV safety training that should 
comply with this requirement. Based on the listed prices for the SVIA 
training, the cost is between $75 and $125 per person. Based on the 
experience with the manufacturers that have signed LOUs with the CPSC, 
it is expected that about 30 to 40 percent of ATV purchasers with 
little riding experience will take advantage of the offer of free 
safety training. However, since most ATV purchasers are already 
experienced drivers, it is expected that less than 10 percent of all 
purchasers of new ATVs will take advantage of the free training offer.
    The proposed rule would formalize a ban on the sale of new 3-wheel 
ATVs. CPSC reached voluntary agreements with ATV manufacturers to stop 
supplying 3-wheel ATVs to the U.S. market in 1988. The staff is not 
aware of any major manufacturers that are currently supplying 3-wheel 
ATVs to the U.S. market. However, the Office of Compliance has found 
evidence that some 3-wheeled vehicles that meet the definition of an 
ATV are being offered for sale to U.S. consumers on the internet. The 
formal ban in the proposed rule is intended to ensure no manufacturer 
or importer introduces a new 3-wheel ATV in the future. The ban should 
not impact the current operations of any manufacturer or importer.
    Retailers. ATV retailers would have some responsibilities under the 
proposed rule, but none that would be expected to have a substantial 
impact. The CPSC staff have not determined the total number of ATV 
retail operations, but they certainly number in the thousands, a 
substantial number of which could be small businesses. Many ATV 
retailers are franchise operations of the larger ATV manufacturers or 
distributors. Other ATV retailers purchase their inventory from ATV 
importers and wholesalers. ATV retailers usually sell products in 
addition to ATVs, including motorcycles, scooters, and farm equipment. 
Some ATVs are offered for sale over the internet.
    Each retailer will be required to prepare a ``training 
certificate'' that entitles each qualified member of the purchaser's 
immediate family to free ATV safety training. Additionally, the 
retailer will be required to prepare and maintain records of disclosure 
statements concerning age recommendations and availability of training. 
The retailer will provide copies of both forms to the purchaser and the 
manufacturers. The retailer and manufacturers would have to maintain 
the originals in their files for 5 years after the date of the 
purchase. The forms must be made available to CPSC representatives upon 
request.
    As discussed in sections I and J above, the cost of preparing and 
filing these records is estimated to come to about $2.33 per ATV sold. 
The cost of the blank forms themselves, postage, envelopes, and other 
supplies might add another $0.55 to the cost. If 950,000 ATVs are sold 
annually, the total recordkeeping cost on retailers will be about $2.2 
million annually. The number of ATV retailers is estimated to be about 
5,000. Therefore, the recordkeeping costs will average about $440 per 
retailer annually.
    The retailer will also be responsible for ensuring the warning 
labels and hang tags specified in the proposed rule remain on the 
vehicle at least until the

[[Page 45927]]

purchaser has possession of it. In addition, the retailer would be 
responsible for ensuring that the safety video and owner's manual 
provided by the manufacturer or importer are transferred to the 
purchaser.

3. Other Federal Rules

    The CPSC has not identified any Federal rule that either overlaps 
or conflicts with the proposed rule. Some states require training of 
ATV operators under some circumstances or require riders to wear 
certain protective gear. At least one state (North Carolina) has 
specified maximum engine sizes for ATVs intended for children under the 
age of 16 years.

4. Alternatives to the Proposed Rule

    The proposed rule would essentially mandate provisions of a 
voluntary mechanical standard and certain provisions of agreements that 
CPSC has negotiated with the major ATV distributors. Manufacturers and 
distributors with an estimated combined market share of about 90 
percent of the ATVs sold already comply with most of the provisions of 
the proposed rule. Because the rules are intended to ensure that all 
ATVs, distributors, and retailers meet these minimum requirements, CPSC 
has not identified any alternatives that would reduce the burden on 
small businesses and accomplish the goals of the proposed rule.
    The option of continuing to rely on voluntary activity was 
considered by the staff. However, the rapid increase in the number of 
firms supplying ATVs to the market and the relative ease of entry and 
exit into the market make it impractical to negotiate individual 
agreements with each manufacturer and importer.

5. Summary and Conclusions

    Many of the 87 or more companies that manufacture or import ATVs 
into the U.S. and an unknown number of the retailers are small 
entities. The proposed rule would impose some requirements on these 
firms. However, the requirements are needed to ensure that all ATVs 
meet some minimum safety requirements, that all ATV consumers receive 
some important safety information, and that all buyers be offered the 
training that is needed to safely operate ATVs. Some small entities are 
already meeting many of the provisions of the proposed rule.

L. Environmental Considerations

    Usually, CPSC rules establishing performance requirements are 
considered to ``have little or no potential for affecting the human 
environment,'' and environmental assessments are not usually prepared 
for these rules (see 16 CFR 1021.5 (c)(1)). Moreover, most of the ATV 
industry is already thought to be in conformance with most of the 
provisions of the proposed standard. Therefore, it is unlikely that 
substantial changes will be made in production practices nor will a 
substantial number of products require modification or disposal.

M. Executive Order 12988 (Preemption)

    As required by Executive Order 12988 (February 5, 1996), the CPSC 
states the preemptive effect of the ATV regulations proposed today as 
follows:
    The regulations for youth ATVs are proposed under authority of the 
Federal Hazardous Substances Act (FHSA). 15 U.S.C. 1261-1278. Section 
18 of the FHSA provides that, generally, if the Commission issues a 
rule under, or for the enforcement of, section 2(q) of the FHSA to 
protect against a risk of injury associated with, among other things, 
any toy or other article intended for use by children, ``no State or 
political subdivision of a State may establish or continue in effect a 
requirement applicable to such [article] and designed to protect 
against the same risk of illness or injury unless such requirement is 
identical to the requirement established under such regulations.'' 15 
U.S.C. 1261n(b)(1)(B). Upon application to the Commission, a State or 
local standard may be excepted from this preemptive effect if the State 
or local standard (1) provides a higher degree of protection from the 
risk of injury or illness than the FHSA standard and (2) does not 
unduly burden interstate commerce. In addition, the Federal government, 
or a State or local government, may establish and continue in effect a 
non-identical requirement that provides a higher degree of protection 
than the FHSA requirement for the hazardous substance for the Federal, 
State or local government's own use. 15 U.S.C. 1261n(b)(2).
    The proposed rule for adult ATVs is issued under authority of the 
Consumer Product Safety Act (CPSA). 15 U.S.C. 2051-2084. Section 26 of 
the CPSA sets out a preemption provision similar to that of the FHSA, 
specifically ``whenever a consumer product safety standard under the 
Act [CPSA] is in effect and applies to a risk of injury associated with 
a consumer product, no State or political subdivision of a State shall 
have any authority either to establish or continue in effect any 
provision of a safety standard or regulation which prescribes any 
requirements as to the performance, composition, contents, design, 
finish, construction, packaging, or labeling of such product which are 
designed to deal with the same risk of injury associated with such 
consumer product, unless such requirements are identical to the 
requirements of the Federal standard.'' 15 U.S.C. 2075(a). As with the 
FHSA preemption provisions, an exception for products for the state or 
political subdivision's own use and a petitioning procedure for an 
exemption from the otherwise applicable federal standard are provided.
    Thus, with the exceptions noted above, the ATV requirements 
proposed in today's Federal Register would preempt non-identical state 
or local requirements for ATVs designed to protect against the same 
risk of injury.

N. Effective Date

    The Commission proposes that these rules would become effective 180 
days from publication of a final rule in the Federal Register and would 
apply to all terrain vehicles manufactured or imported on or after that 
date. The CPSA requires that consumer product safety rules take effect 
not later than 180 days from their promulgation unless the Commission 
finds there is good cause for a later date. 15 U.S.C. 2058(g)(1). Many 
of the requirements proposed in these rules are substantially the same 
as provisions of the ANSI/SVIA voluntary standard, which the major ATV 
manufacturers currently comply with, or of the LOU agreements, which 
the major ATV manufacturers have with the Commission. Therefore, the 
Commission believes that a 180-day effective date is appropriate.

O. Proposed Findings

    The CPSA and FHSA require the Commission to make certain findings 
when issuing a consumer product safety standard or a rule under the 
FHSA. The CPSA requires that the Commission consider and make findings 
about the degree and nature of the risk of injury; the number of 
consumer products subject to the rule; the need of the public for the 
rule and the probable effect on utility, cost and availability of the 
product; and other means to achieve the objective of the rule while 
minimizing the impact on competition, manufacturing and commercial 
practices. The CPSA also requires that the rule must be reasonably 
necessary to eliminate or reduce an unreasonable risk of injury 
associated with the product and issuing the rule must be in the public 
interest. For a rule declaring a product a banned hazardous product, 
the CPSA requires that the Commission must find that no feasible 
consumer product safety standard would

[[Page 45928]]

adequately protect the public from the unreasonable risk. 15 U.S.C. 
2058(f)(3).
    In addition, the Commission must find that: (1) If an applicable 
voluntary standard has been adopted and implemented, that compliance 
with the voluntary standard is not likely to adequately reduce the risk 
of injury, or compliance with the voluntary standard is not likely to 
be substantial; (2) that benefits expected from the regulation bear a 
reasonable relationship to its costs; and (3) that the regulation 
imposes the least burdensome requirement that would prevent or 
adequately reduce the risk of injury. Id.
    The FHSA requires essentially similar findings concerning 
unreasonable risk, voluntary standards and potential costs and 
benefits. Under the FHSA, the Commission must find that some aspect of 
the design or manufacture of the article it seeks to regulate presents 
an unreasonable risk of injury or illness. Id. 1261(s). The Commission 
must also make the findings concerning voluntary standards, 
relationship of costs to benefits, and least burdensome alternative as 
required by the CPSA. The findings must also be stated in the rules. 
These findings are discussed below.
    Degree and nature of the risk of injury. According to the 
Commission's 2004 Annual Report on ATVs, the Commission has reports of 
6,494 ATV-related deaths that have occurred since 1982. For 2003 alone, 
an estimated 740 ATV-related deaths were reported to the Commission. 
The estimated number of ATV-related injuries treated in hospital 
emergency rooms in 2004 was 136,100, which is an increase of about 8 
percent over the 2003 estimate. These incidents occur when the operator 
of an ATV loses control of the vehicle, collides with another object, 
or otherwise becomes injured or dies while riding an ATV. Many 
incidents are related to behavior of the operator (such as riding on 
paved roads, carrying a passenger, driving at excessive speeds).
    Number of consumer products subject to the rule. The market has 
increased substantially since ATVs were first introduced over thirty 
years ago. In 2005, an estimated 6.9 million ATVs were in use.
    The need of the public for ATVs and the effects of the rule on 
their utility, cost and availability. The need of the public for ATVs 
is both for recreation and for work, particularly on farms and ranches 
in rural areas. The proposed rule will have minimal effect on the 
utility, cost and availability of ATVs. The mechanical provisions of 
the proposed rule are substantially similar to requirements of the 
voluntary standard with which the major ATV manufacturers comply. Costs 
should be small because the information provisions of the proposed rule 
are also currently being followed by the major ATV manufacturers. With 
the exception of the ban of three-wheeled ATVs, the proposed rule 
should not affect the availability of ATVs. In fact, a greater variety 
of youth ATVs may become more available.
    Other means to achieve the objective of the rule while minimizing 
the impact on competition and manufacturing. Because most ATV 
manufacturers are currently complying with the ANSI/SVIA voluntary 
standard and are providing the information materials the proposed rule 
requires, the Commission does not believe that the proposed rule will 
have much effect on competition and manufacturing. It is likely, 
however, that newer entrants may need to take action to bring their 
ATVs into compliance with the proposed rule. This could have the effect 
of increasing the price for the newer entrants' imported ATVs. In the 
future, this could reduce the number of new entrants coming into the 
ATV market.
    Unreasonable risk. As discussed above, the Commission has reports 
of 6,494 ATV-related deaths that have occurred since 1982 and for 2003 
alone, an estimated 740 ATV-related deaths were reported to the 
Commission. The estimated number of ATV-related injuries treated in 
hospital emergency rooms in 2004 was 136,100. The proposed rules will 
establish mechanical standards for ATVs and requirements for the 
provision of safety information about operating ATVs. Included in this 
will be a requirement for manufacturers to provide free training. Many 
ATV manufacturers are currently in compliance with many of the proposed 
requirements. However, some of the additional requirements (such as 
requiring the age acknowledgment form and training acknowledgment form) 
or requirements that are somewhat different from current practice (such 
as clearer warning statements) may better inform consumers of ATV-
related risks who may then be better able to reduce or avoid these 
risks. Moreover, the mandatory requirements will cover the increasing 
number of new entrants into the ATV market who are not following 
current voluntary standards or other safety practices that the major 
manufacturers are voluntarily following. This will reduce the risk of 
injury in the future as more such new entrants may enter the market.
    Public interest. These rules are in the public interest because 
they may reduce ATV-related deaths and injuries in the future. Their 
mandatory nature will mean that all ATV manufacturers will have to 
comply with the mechanical and information requirements of the rules. 
The increasing number of new entrants will make it difficult to 
maintain voluntary agreements with manufacturers. By issuing mandatory 
requirements, the Commission will have the authority to enforce these 
requirements rather than relying on voluntary compliance.
    Ban of three-wheeled ATVs. Three-wheeled ATVs are less stable and 
more difficult to steer than four-wheeled ATVs. The risk of sustaining 
a hospital emergency room-treated injury while operating a three-
wheeled ATV is about 3 times the risk on a similar four-wheeled ATV. 
While there are many technical factors that make a four-wheeled ATV 
more dynamically stable than a three-wheeled ATV, one of the largest 
factors is the fourth wheel. Given the inherent difference in vehicle 
configuration, the Commission does not believe it is feasible to 
develop a performance standard for three-wheeled ATVs that would 
improve that vehicle's stability performance to that of a four-wheeled 
vehicle.
    Voluntary standards. The current voluntary standard, ANSI/SVIA-1-
2001, specifies requirements for the mechanical operation of single 
rider ATVs (both for adult and youth ATVs). Manufacturers are working 
to incorporate requirements for tandem ATVs into the voluntary 
standard. The major manufacturers appear to comply with most provisions 
of the voluntary standard. However, the voluntary standard does not 
contain information requirements for such things as warning labels, 
owners manuals and training. Thus, compliance with the voluntary 
standard alone would not be sufficient to adequately reduce or 
eliminate the risk of injury. Many ATV incidents occur because of the 
way the ATV is used. The Commission cannot issue requirements for how a 
product should be used (e.g., requiring helmets, prohibiting children 
from riding adult ATVs). To affect these behaviors the Commission must 
act through requirements directing manufacturers and retailers to take 
actions that inform consumers of the risks associated with ATVs and 
advise consumers how they could reduce these risks.
    The major manufacturers have agreed to take many of the 
informational actions proposed in the rules through the LOUs they have 
entered into with the Commission. The LOUs are completely voluntary. A 
company could decide to change any of the actions it has agreed to at 
any time.

[[Page 45929]]

    Although the major manufacturers appear to be complying with the 
voluntary standard and abiding by their LOUs, a growing portion of the 
ATV market may not be following the voluntary standard (and is not 
bound by the LOUs). These new entrants now comprise approximately 10 
percent of the market. Given recent trends and the lower price of the 
new entrants' products, their share of the market is likely to 
increase.
    Thus, the Commission finds that compliance with the ANSI/SVIA-1-
2001 voluntary standard is not likely to eliminate or adequately reduce 
the risk of injury associated with ATVs, and it is unlikely that there 
will be substantial compliance with the voluntary standard.
    Relationship of benefits to costs. Because most manufacturers are 
currently taking most of the actions that the proposed rules would 
require, costs from the proposed rules are likely to be small. The 
initial potential reduction of ATV-related deaths and injuries may also 
be small. However, mandating the mechanical and information 
requirements will mean that new entrants to the market, a group that 
has recently been increasing, will have to comply with the requirements 
as well. The proposed rule would impose some testing and recordkeeping 
costs. The staff estimates these to be about $462,000 annually. For 
many of the provisions, it is difficult to quantify benefits. However, 
for the training requirement alone, the Commission estimates the 
proposed provision could result in a net benefit of about $3.3 million 
annually. Given that in 2004 an estimated 136,000 ATV-related injuries 
were treated in hospital emergency rooms, and that an estimated 6,494 
ATV-related deaths have occurred since 1982, if the proposed rule 
affects even a small number of potential deaths and injuries, the 
benefits would bear a reasonable relationship to the costs.
    As for youth ATVs, the Commission proposes to establish categories 
of youth ATVs based on maximum speed rather than engine size. This 
should not impose additional costs on manufacturers because these 
delineations are similar to those already in the ANSI/SVIA-1-2001 
voluntary standard. However, this change could lead to a greater 
variety of youth ATVs which could result in more children riding youth 
ATVs rather than larger, riskier adult models. Such a movement of 
children to youth ATVs could reduce ATV-related deaths and injuries 
because the risk of injury for riders under the age of 16 driving adult 
ATVs is about twice the risk of injury of those who are driving age-
appropriate ATVs. Additionally, the proposed change could result in 
more children receiving formal training, and this too could reduce 
deaths and injuries.
    Least burdensome requirement. As discussed above, the proposed rule 
is likely to impose only a small burden on most current ATV 
manufacturers and retailers. The Commission is essentially mandating 
the current practice that many manufacturers are following. 
Nevertheless, the proposed rule is likely to reduce the risk of injury 
associated with ATVs because it will enable the Commission to directly 
enforce the provisions of the rule and will bring new entrants under 
federal regulation.

P. Additional Instructions to the Staff and Request for Comments

    The Commission instructs the staff to take the following actions 
and invites public comment on any of the issues raised.
    With regard to youth ATVs:
    1. Analyze all in-depth investigation reports and any other 
detailed reports of injuries we may have to children on ATVs to 
determine what factors contributed to the incidents and to determine 
whether additional changes could be made to the operational/handling 
characteristics of youth ATVs that would reduce or eliminate injuries 
and deaths due to those factors.
    2. Test current youth models against one another to determine if 
there are characteristics of some models that make them more stable or 
otherwise less incident prone than other models.
    3. Determine whether making the junior and/or pre-teen youth models 
less rider interactive (lateral stability, braking systems, etc.) could 
reduce or eliminate deaths and injuries on youth models.
    4. Explore the feasibility of providing guidance to purchasers on 
the appropriate weight of the youth model ATV in relation to the weight 
of the rider and of providing guidance to manufacturers on an upper 
limit on the weight of the junior and pre-teen ATVs.
    5. Do research to determine if the top speed of thirty miles per 
hour for the teen youth model is excessive and whether reducing the 
speed would reduce or eliminate deaths and injuries on those vehicles.
    6. Determine how ATV training for children in the three age groups 
should be structured to maximize their ability to learn the safety 
information and riding skills (for example, should we require that a 
separate ATV training course for children be developed?).
    7. Determine whether tandem youth ATVs are appropriate.
    8. Analyze CPSC data to determine the desirability of illumination 
on youth ATVs (in both daytime and nighttime situations) to reduce 
deaths and injuries to riders.
    With regard to ATVs in general:
    1. As part of the on-going information and education campaign, 
Human Factors and other staff shall work with the Office of Information 
and Public Affairs to ensure that the core message that is developed 
with regard to children under 16 driving ATVs is as effective as 
possible. Explore whether two campaigns should be developed: One 
directed to children and one directed to the parents/adult drivers.
    2. Review and revise, where necessary, the incident reporting form 
on the ATV Web site to solicit as much information about ATV incidents 
as possible to assist staff in current and future ATV incident 
evaluations.
    3. Create a new tab on the ATV Web site that would contain 
everything parents ought to know about ATV safety for their children.
    4. Detail the plan for enforcement and monitoring of the ATV age 
guidelines under the new proposal and explain how it would differ from 
current practice and what additional enforcement tools it would provide 
the Commission.

Q. Conclusion

    For the reasons stated in this preamble, the Commission 
preliminarily concludes that all terrain vehicles intended for adults 
present an unreasonable risk of injury which can be reduced through the 
requirements of this proposed rule. With regard to ATVs intended for 
children under the age of 16, the Commission preliminarily concludes 
that ATVs that do not meet the requirements specified for youth ATVs 
are hazardous substances under section 2(f)(1(D) of the FHSA. The 
Commission also preliminarily concludes that three-wheeled ATVs present 
an unreasonable risk of injury and there is no feasible consumer 
product safety standard that would adequately protect the public from 
the risk of injury.

List of Subjects

16 CFR Part 1307

    Consumer protection, Imports, Law enforcement, Recreation and 
recreation areas, Safety.

16 CFR Part 1410

    Consumer protection, Imports, Information, Labeling, Law 
enforcement, Recreation and recreation areas, Reporting and 
recordkeeping requirements, Safety.

[[Page 45930]]

16 CFR Part 1500

    Consumer protection, Hazardous materials, Hazardous substances, 
Imports, Infants and children, Labeling, Law enforcement, Toys.

16 CFR Part 1515

    Consumer protection, Imports, Infants and children, Information, 
Labeling, Law enforcement, Recreation and recreation areas, Reporting 
and recordkeeping requirements, Safety, Youth.
    For the reasons stated in the preamble, the Commission proposes to 
amend Chapter II of title 16 of the Code of Federal Regulations as 
follows:
    1. Add part 1307 to read as follows:

PART 1307--BAN OF THREE-WHEELED ALL TERRAIN VEHICLES

Sec.
1307.1 Scope and application.
1307.2 Purpose.
1307.3 Definitions.
1307.4 Banned hazardous products.
1307.5 Findings.
1307.6 Effective date.

    Authority: 15 U.S.C. 2057 and 2058.


Sec.  1307.1  Scope and application.

    In this part 1307 the Consumer Product Safety Commission declares 
that three-wheeled all terrain vehicles, as defined in Sec.  1307.3, 
are banned hazardous products under sections 8 and 9 of the Consumer 
Product Safety Act (15 U.S.C. 2057 and 2058).


Sec.  1307.2  Purpose.

    The purpose of the rule in this part is to prohibit the sale of 
three-wheeled all terrain vehicles. These products present an 
unreasonable risk of injury as a three-wheeled ATV is inherently less 
stable than an ATV with four wheels resulting in 3 times the risk of 
injury compared to a four-wheeled ATV.


Sec.  1307.3  Definitions.

    (a) The definitions in section 3 of the Consumer Product Safety Act 
(15 U.S.C. 2052) apply to this part 1307.
    (b) Three-wheeled all terrain vehicle, or three-wheeled ATV, means 
a motorized vehicle that travels on three low pressure tires, has a 
seat designed to be straddled by the operator, has handlebars for 
steering, and is intended for off-road use on non-paved surfaces.


Sec.  1307.4  Banned hazardous products.

    Any three-wheeled ATV, as defined in Sec.  1307.3(b), that is 
manufactured or imported on or after [180 days from issuance of final 
rule] is a banned hazardous product.


Sec.  1307.5  Findings.

    (a) The degree and nature of the risk of injury. The Commission 
finds that the risk of injury which the regulation in this part is 
designed to eliminate or reduce is that of severe injury or death 
occurring when the operator of a three-wheeled ATV loses control of the 
vehicle, collides with another object, or otherwise becomes injured or 
dies while riding a three-wheeled ATV. Three-wheeled ATVs are less 
stable and more risky than four-wheeled ATVs. The risk of sustaining a 
hospital emergency room treated injury while operating a three-wheeled 
ATV is about 3 times the risk on a similar four-wheeled ATV.
    (b) Products subject to the ban. Three-wheeled ATVs are motorized 
vehicles that travel on three low pressure tires, have a seat designed 
to be straddled by the operator, have handlebars for steering, and are 
intended for off-road use on non-paved surfaces.
    (c) The need of the public for three-wheeled ATVs and the effects 
of the rule on their utility, cost and availability. The Commission 
finds that the public's need for three-wheeled ATVs (given the 
continued availability of four-wheeled ATVs) is small and that the 
effect of this rule on the cost, utility, and availability of three-
wheeled ATVs will also be small. The major manufacturers of ATVs have 
not sold three-wheeled ATVs in the United States since 1988. Although a 
few new entrants to the market have started to offer three-wheeled 
ATVs, and some models that were manufactured before 1988 are still in 
use, three-wheeled ATVs are not widely available at this time. Even 
before 1988, the market for three-wheeled ATVs compared to four-wheeled 
ATVs was declining. In 1986, about 80 percent of ATVs sold in the 
United States had four wheels. For most individuals, the utility 
difference between a three-wheeled ATV and a four-wheeled ATV is 
minimal. Four-wheeled ATVs will continue to be available. Except for 
the fact that three-wheeled ATVs are considerably less stable than 
four-wheeled ATVs, they are functionally equivalent.a1 One can use a 
four-wheeled ATV in essentially the same manner as a three-wheeled ATV.
    (d) Alternatives. The Commission has considered other means of 
obtaining the objective of this ban, but has found none that would 
adequately reduce the risk of injury. While there are many technical 
factors that make a four-wheeled ATV more dynamically stable than a 
three-wheeled ATV, one of the largest factors is the fourth wheel. 
Given the inherent difference in vehicle configuration, the Commission 
does not believe it is feasible to develop a performance standard for 
three-wheeled ATVs that would improve that vehicle's stability 
performance to that of a four-wheeled vehicle.


Sec.  1307.6  Effective date.

    The rule in this part becomes effective [180 days from issuance of 
final rule] and applies to all three-wheeled ATVs manufactured or 
imported on or after that date.
    2. Add part 1410 to Subchapter B to read as follows:

PART 1410--REQUIREMENTS FOR ADULT ALL TERRAIN VEHICLES

Subpart A--General Requirements
Sec.
1410.1 Purpose, scope, effective date.
1410.2 Definitions.
1410.3 Requirements in general.
1410.4 Findings.
Subpart B--Requirements for Equipment, Configuration and Performance 
for Single Rider ATVs
1410.5 Equipment and configuration requirements.
1410.6 Maximum speed capability test
1410.7 Service brake performance test.
1410.8 Parking brake performance test.
1410.9 Pitch stability requirements.
Subpart C-- Requirements for Labeling, Point of Sale Information and 
Instruction
1410.10 Labeling requirements.
1410.11 Hangtag requirements.
1410.12 Age acknowledgment.
1410.13 Instructional/Owner's manual.
1410.14 Safety video.
1410.15 Instructional training.
Subpart D--Requirements for Tandem ATVs
1410.16 Requirements in general for tandem ATVs.
1410.17 Equipment and configuration requirements for tandem ATVs.
1410.18 Pitch stability requirements for tandem ATVs.
1410.19 Information requirements for tandem ATVs.
Subpart E--Certification/Testing/Recordkeeping
1410.20 Certification.
1410.21 Testing.
1410.22 Recordkeeping.

Figures

Figure 1 to Part 1410--Operator Foot Environment--Plan View
Figure 2 to Part 1410--Operator Foot Environment--Front View
Figure 3 to Part 1410--Age Acknowledgment Form
Figure 4 to Part 1410--Training Acknowledgment Form
Figure 5 to Part 1410--Operator and Passenger Foot Environment--Plan 
View
Figure 6 to Part 1410--Operator and Passenger Foot Environment--
Front View

    Authority: 15 U.S.C. 2056-2058, 2063, 2065 and 2076(e).

[[Page 45931]]

Sec.  1410.1  Purpose, scope, effective date.

    (a) Purpose. The purpose of the standard of this part is to reduce 
deaths and injuries associated with adult all terrain vehicles (ATVs) 
by ensuring that such ATVs meet certain technical requirements and that 
consumers have sufficient safety information about operating such ATVs.
    (b) Scope and effective date. All terrain vehicles, as defined in 
Sec.  1410.2(a) manufactured or imported on or after [180 days after 
final rule is issued] are subject to the requirements of the standard 
in this part and 16 CFR Part 1307. ATVs intended for use by an operator 
less than sixteen (16) years of age are subject to the requirements in 
16 CFR 1500.18(a)(20) and 16 CFR part 1515.


Sec.  1410.2  Definitions.

    In addition to the definitions in section 3 of the Consumer Product 
Safety Act (15 U.S.C. 2052), the following definitions apply for 
purposes of this part 1410.
    (a) All terrain vehicle, or ATV, means a three- or four-wheeled 
motorized vehicle that travels on low pressure tires, has a seat 
designed to be straddled by the operator (and a passenger if provision 
is made for carrying a passenger), has handlebars for steering, and is 
intended for off-road use on non-paved surfaces. For purposes of this 
part, all terrain vehicle, or ATV, means an ATV that is intended for 
use by an operator 16 years of age or older.
    (b) Footrest means a structural support for the operator's feet, 
which can include footpegs and footboards.
    (c) Gearshift control means a control for selecting among a number 
of sets of transmission gears.
    (d) Handlebar means a device used for steering and rider support 
and as a place to mount hand-operated controls.
    (e) Low pressure tire means a tire designed for off-road use on 
ATVs, and having a recommended tire pressure of no more than 69 kPa (10 
psi).
    (f) Manual clutch means a device activated by the operator to 
disengage the engine from the transmission.
    (g) Manual fuel shutoff control means a device designed to turn the 
fuel flow from the fuel tank on and off.
    (h) Manufacturer means any entity that produces ATVs. For purposes 
of this part 1410, an importer is a manufacturer.
    (i) Mechanical suspension means a system which permits vertical 
motion of an ATV wheel relative to the chassis and provides spring and 
damping forces.
    (j) Parking brake means a brake system which, after actuation, 
holds one or more brakes continuously in an applied position without 
further action.
    (k) Passenger handhold means a device on a tandem ATV to be grasped 
by the passenger to provide support and help maintain balance while 
riding as a passenger.
    (l) PIN means a Product Identification Number assigned in 
accordance with Recreation Off-Road Vehicle Product Identification 
Numbering System, SAE International Consortium Standard, ICS-1000, 
issued 2004-9.
    (m) Retailer means, for purposes of this part 1410, a person to 
whom an ATV is delivered or sold for purposes of sale or distribution 
by such person to a consumer.
    (n) Safety alert symbol means the symbol which indicates a 
potential personal injury hazard as defined in section 4.10 of ANSI 
Z535.4-2002, American National Standard for Product Safety Signs and 
Labels.
    (o) Service brake means the primary brake system used for slowing 
and stopping a vehicle.
    (p) Spark arrester means an exhaust system component which limits 
the size of carbon particles expelled from a tailpipe.
    (q) Tandem all terrain vehicle means a motorized off-highway 
vehicle designed to travel on four tires, having a seat designed to be 
straddled by the operator and handlebar for steering control, and a 
seating position behind the operator seat designed to be straddled by 
no more than one passenger.
    (r) Three-wheeled all terrain vehicle means an all terrain vehicle 
as defined in paragraph (a) of this section that has three wheels.
    (s) Throttle control means a control which is located on the 
handlebar and is used to control engine power.
    (t) VIN means a Vehicle Identification Number assigned as specified 
in 49 CFR part 565.
    (u) Wheelbase (L) means the longitudinal distance from the center 
of the front axle to the center of the rear axle.
    (v) Wheel travel means the displacement of a reference point on the 
suspension (such as the wheel axle) from when the suspension is fully 
extended (no force applied) to when it is fully compressed.


Sec.  1410.3  Requirements in general.

    (a) Each ATV designed for use only by a single rider, shall meet 
the equipment, configuration and performance requirements specified in 
subpart B of this part. Each ATV designed for two riders shall meet the 
equipment, configuration and performance requirements specified in 
subpart D of this part. All ATVs shall meet the requirements for 
labeling, point of sale information, instruction manuals, and 
instructional training specified in subpart C of this part and the 
recordkeeping and certification requirements specified in subpart E of 
this part.
    (b) Each ATV manufacturer shall comply with the requirements of 
this part applicable to manufacturers. For purposes of this part, an 
ATV importer is an ATV manufacturer.
    (c) Each ATV retailer shall comply with the requirements of this 
part applicable to retailers.
    (d) In accordance with 16 CFR part 1307, any three-wheeled all 
terrain vehicle as defined in Sec.  1410.2(r) which is manufactured or 
imported on or after [180 days after final rule is issued] is a banned 
hazardous product.


Sec.  1410.4  Findings.

    (a) General. In order to issue a consumer product safety standard 
under the Consumer Product Safety Act, the Commission must make certain 
findings and include them in the rule. 15 U.S.C. 2058(f)(3). These 
findings are discussed in this section.
    (b) Degree and nature of the risk of injury. According to the 
Commission's 2004 Annual Report on ATVs, the Commission has reports of 
6,494 ATV-related deaths that have occurred since 1982. For 2003 alone, 
an estimated 740 ATV-related deaths were reported to the Commission. 
The estimated number of ATV-related injuries treated in hospital 
emergency rooms in 2004 was 136,100, which is an increase of about 8 
percent over the 2003 estimate. These incidents occur when the operator 
of an ATV loses control of the vehicle, collides with another object, 
or otherwise becomes injured or dies while riding an ATV. Many 
incidents are related to behavior of the operator (such as riding on 
paved roads, carrying a passenger, driving at excessive speeds).
    (c) Number of consumer products subject to the rule. The market has 
increased substantially since ATVs were first introduced over thirty 
years ago. In 2005, an estimated 6.9 million ATVs were in use.
    (d) The need of the public for ATVs and the effects of the rule on 
their utility, cost and availability. The need of the public for ATVs 
is both for recreation and for work, particularly on farms and ranches 
in rural areas. The proposed rule will have minimal effect on the 
utility, cost and availability of ATVs. The mechanical provisions of 
the proposed rule are substantially similar to requirements of the 
voluntary

[[Page 45932]]

standard with which the major ATV manufacturers comply. Costs should be 
small because the information provisions of the proposed rule are also 
currently being followed by the major ATV manufacturers. With the 
exception of the ban of three-wheeled ATVs, the proposed rule should 
not affect the availability of ATVs. In fact, a greater variety of 
youth ATVs may become more available.
    (e) Other means to achieve the objective of the rule while 
minimizing the impact on competition and manufacturing. Because most 
ATV manufacturers are currently complying with the ANSI/SVIA-1-2001 
voluntary standard and are providing the information materials the 
proposed rule requires, the Commission does not believe that the 
proposed rule will have much effect on competition and manufacturing. 
It is likely, however, that newer entrants may need to take action to 
bring their ATVs into compliance with the proposed rule. This could 
have the effect of increasing the price for the newer entrants'' 
imported ATVs. In the future, this could reduce the number of new 
entrants coming into the ATV market.
    (f) Unreasonable risk. As noted in paragraph (b) of this section, 
the Commission has reports of 6,494 ATV-related deaths that have 
occurred since 1982, and an estimated 740 ATV-related deaths were 
reported to the Commission for 2003 alone. The proposed rules will 
establish mechanical standards for ATVs and requirements for the 
provision of safety information about operating ATVs. Included in this 
will be a requirement for manufacturers to provide free training. Many 
ATV manufacturers are currently in compliance with many of the proposed 
requirements. However, some of the additional requirements (such as 
requiring the age acknowledgment form and training acknowledgment form) 
or requirements that are somewhat different from current practice (such 
as clearer warning statements) may better inform consumers of ATV-
related risks who may then be better able to reduce or avoid these 
risks. Moreover, the mandatory requirements will cover the increasing 
number of new entrants into the ATV market who are not following 
current voluntary standards or other safety practices that the major 
manufacturers are voluntarily following. This will reduce the risk of 
injury in the future as more such new entrants may enter the market.
    (g) Public interest. These rules are in the public interest because 
they may reduce ATV-related deaths and injuries in the future. Their 
mandatory nature will mean that all ATV manufacturers will have to 
comply with the mechanical and information requirements of the rules. 
The increasing number of new entrants will make it difficult to 
maintain voluntary agreements with manufacturers. By issuing mandatory 
requirements, the Commission will have the authority to enforce these 
requirements rather than relying on voluntary compliance.
    (h) Voluntary standards. The current voluntary standard, ANSI/SVIA-
1-2001, specifies requirements for the mechanical operation of single 
rider ATVs (both for adult and youth ATVs). Manufacturers will be 
working to incorporate requirements for tandem ATVs into the voluntary 
standard. The major manufacturers appear to comply with most provisions 
of the voluntary standard. The voluntary standard does not contain 
information requirements for such things as warning labels, owners 
manuals and training. Thus, compliance with the voluntary standard 
alone would not be adequate to eliminate the risk of injury. Many ATV 
incidents occur because of the way the ATV is used. The Commission 
cannot issue requirements for how a product should be used (e.g., 
requiring helmets, prohibiting children from riding adult ATVs). To 
affect these behaviors the Commission must act through requirements 
directing manufacturers and retailers to take actions that inform 
consumers of the risks associated with ATVs and advise consumers how 
they could reduce these risks. Although the major manufacturers have 
agreed to take many of the informational actions proposed in the rules 
through the Letters of Undertaking (``LOUs'') that they have entered 
into with the Commission, the LOUs are completely voluntary, and a 
company could decide to change any of the actions it has agreed to at 
any time. Although the major manufacturers appear to be complying with 
the voluntary standard and abiding by their LOUs, a growing portion of 
the ATV market may not be following the voluntary standard (and is not 
bound by the LOUs). These new entrants now comprise approximately 10 
percent of the market. Given recent trends and the lower price of the 
new entrants'' products, their share of the market is likely to 
increase. Thus, the Commission finds that compliance with the ANSI/
SVIA-1-2001 voluntary standard is not likely to eliminate or adequately 
reduce the risk of injury associated with ATVs, and it is unlikely that 
there will be substantial compliance with the voluntary standard.
    (i) Relationship of benefits to costs. Because most manufacturers 
are currently taking most of the actions that the proposed rules would 
require, costs from the proposed rules are likely to be small. The 
initial potential reduction of ATV-related deaths and injuries may also 
be small. However, mandating the mechanical and information 
requirements will mean that new entrants to the market, a group that 
has recently been increasing, will have to comply with the requirements 
as well. The proposed rule would impose some testing and recordkeeping 
costs. The staff estimates these to be about $462,000 annually. For 
many of the provisions, it is difficult to quantify benefits. However, 
for the training requirement alone, the Commission estimates the 
proposed provision could result in a net benefit of about $3.3 million 
annually. Given that in 2004 an estimated 136,000 ATV-related injuries 
were treated in hospital emergency rooms, and that an estimated 6,494 
ATV-related deaths have occurred since 1982, if the proposed rule 
affects even a small number of potential deaths and injuries, the 
benefits would bear a reasonable relationship to the costs.
    (j) Least burdensome requirement. The proposed rule is likely to 
impose only a small burden on ATV manufacturers and retailers. The 
Commission is essentially mandating the current practice that many 
manufacturers are following. Nevertheless, the proposed rule is likely 
to reduce the risk of injury associated with ATVs because it will 
enable the Commission to directly enforce the provisions of the rule 
and will bring new entrants under federal regulation.

Subpart B--Requirements for Equipment, Configuration and 
Performance for Single Rider ATVs


Sec.  1410.5  Equipment and configuration requirements.

    (a) Service brakes. All ATVs shall have either independently-
operated front and rear brakes, or front and rear brakes that are 
operated by a single control, or both. These brakes shall meet the 
requirements of Sec.  1410.7.
    (b) Parking brake. All ATVs shall have a parking brake capable of 
holding the ATV stationary under prescribed conditions. The parking 
brake shall meet the performance requirements of Sec.  1410.8.
    (c) Mechanical suspension. All ATVs shall have mechanical 
suspension for all wheels. Each wheel shall have a minimum wheel travel 
of 50 mm (2 inches). Springing and damping

[[Page 45933]]

properties shall be provided by components other than the tire.
    (d) Engine stop switch. All ATVs shall have an engine stop switch 
which is operable by the thumb without removing the hand from the 
handlebar. The engine stop switch shall not require the operator to 
hold it in the off position to stop the engine.
    (e) Manual clutch control. All ATVs equipped with a manual clutch 
shall have a clutch lever which is operable without removing the hand 
from the handlebar.
    (f) Throttle control. All ATVs shall be equipped with a means of 
controlling engine power through a throttle control. The throttle 
control shall be operable without removing the hand from the handlebar. 
The throttle control shall be self-closing to an idle position upon 
release of the operator's hand from the control.
    (g) Drivetrain controls. (1) Manual transmission gearshift control. 
All ATVs equipped with a manual transmission gearshift control shall 
have the control located so that it is operable by the operator's left 
foot or left hand.
    (i) Operation of a foot gearshift control. If equipped with a foot 
gearshift control, an upward motion of the operator's toe shall shift 
the transmission toward higher (lower numerical gear ratio) gears, and 
a downward motion toward lower gears. If equipped with a heel-toe 
(rocker) shifter, an upward motion of the toe or a downward motion of 
the heel shall shift the transmission toward higher gears and a 
downward motion of the toe toward lower gears.
    (ii) Operation of a hand gearshift control. If equipped with a hand 
gearshift control, moving a control upward or depressing the upper 
portion of the control shall shift the transmission toward higher 
(lower numerical gear ratio) gears, and moving the control downward or 
depressing the lower portion of the control shall shift the 
transmission toward lower gears.
    (iii) Gear selection. If three or more gears are provided, it shall 
not be possible to shift from the highest gear directly to the lowest 
gear, or vice versa.
    (2) Directional/Range controls. Controls for selecting forward, 
neutral, or reverse or for selecting overall transmission ranges, or 
for selecting the differential drive (2-wheel or 4-wheel) shall have a 
defined shift pattern viewable by the operator.
    (3) Neutral indicator. All ATVs with a neutral position shall have 
either a neutral indicator readily visible to the operator when seated 
on the ATV or a means to prevent starting of the ATV unless the 
transmission is in the neutral position. The indicator, if provided, 
shall be activated whenever the ignition system is on and the 
transmission is in neutral.
    (4) Reverse indicator. All ATVs with a reverse position shall have 
a reverse indicator readily visible to the operator when the operator 
is seated on the ATV. The indicator shall be activated whenever the 
engine is running and the transmission is in reverse.
    (5) Electric start interlock. An interlock shall be provided to 
prevent the ATV engine from being started by electric cranking unless 
the transmission is in neutral or park, or the brake is applied.
    (h) All ATVs shall have a means for allowing the presence of the 
ATV to be visible during daylight hours over an obstacle with a height 
of six (6) feet located directly adjacent to the ATV.
    (i) Manual fuel shutoff control. If an ATV is equipped with a 
manual fuel shutoff control, the device shall be operable as prescribed 
in 49 CFR 571.123, Table 1.
    (j) Handlebars. The handlebar and its mounting shall present no 
rigid materials with an edge radius of less than 3.2 mm (0.125 inch) 
that may be contacted by a probe in the form of a 165 mm (6.5 inch) 
diameter sphere. The probe shall be introduced to the handlebar 
mounting area. It shall not be possible to touch any part of any edge 
that has a radius of less than 3.2 mm (0.125 inch) with any part of the 
probe. A handlebar crossbar, if provided, shall be equipped to minimize 
contact injuries.
    (k) Operator foot environment. All ATVs shall have a structure or 
other design feature which meets the requirements of paragraphs (k)(1) 
through (4) of this section.
    (1) Test procedure. Compliance shall be determined by introduction 
of a probe, whose end is a rigid flat plane surface 75 mm (3 inches) in 
diameter, in the prescribed direction to the zones as described in 
paragraphs (k)(2) and (3) of this section and as shown in Figures 1 and 
2 of this part, or in the case of a tandem ATV, Figures 5 and 6 of this 
part.
    (i) Inserting probe vertically and downward. The probe shall be 
introduced end-first in a vertical and downward direction to the zone 
described in paragraph (k)(2) of this section and shown by the shaded 
portion of Figure 1 of this part, or in the case of a tandem ATV, the 
shaded portion of Figure 5. The end of the probe in its entirety shall 
remain within the limits of the zone. It shall not penetrate the zone 
sufficiently to touch the ground when applied with a force of 445 N 
(100 lbf).
    (ii) Inserting probe horizontally and rearward. The probe shall be 
introduced end-first in a horizontal and rearward direction to the zone 
described in paragraph (k)(3) of this section and shown by the shaded 
portion of Figure 2 of this part, or in the case of a tandem ATV, the 
shaded portion of Figure 6 of this part. The end of the probe in its 
entirety shall remain within the limits of the zone. It shall not 
penetrate the zone sufficiently to touch the rear tire when applied 
with a force of 90 N (20 lbf).
    (2) Boundaries of zone in Figure 1 of this part. The zone shown in 
Figure 1 of this part, or in the case of a tandem ATV, Figure 5 of this 
part, is defined as bounded by:
    (i) The vertical projection of the rear edge of the footrest.
    (ii) The vertical plane (line AA) parallel to the ATV's 
longitudinal plane of symmetry that passes through the inside edge of 
the footrest.
    (iii) The vertical projection of the intersection of a horizontal 
plane passing through the top surface of the footrest and the rear 
fender or other structure.
    (iv) The vertical plane passing through point D and tangent to the 
outer front surface of the rear tire.
    (A) For footpegs point D is defined as the intersection of the 
lateral projection of the rearmost point of the footpeg and the 
longitudinal projection of the outermost point of the footpeg.
    (B) For footboards point D is defined as the intersection of 2 
lines. The first is a line perpendicular to the vehicle longitudinal 
plane of symmetry and one-third of the distance from the front edge of 
the rear tire to the rear edge of the front tire. The second is a line 
parallel to the ATV's longitudinal plane of symmetry and one-half the 
distance between the inside edge of the footboard and the outside 
surface of the rear tire.
    (3) Boundaries of zone in Figure 2 of this part. The zone shown in 
Figure 2 of this part is defined as bounded by:
    (i) The horizontal plane passing through the lowest surface of the 
footrest on which the operator's foot (boot) rests (plane F), or in the 
case of a tandem ATV, the passenger's foot (boot) rests (Plane G, 
Figure 6 of this part).
    (ii) The vertical plane (line AA) parallel to the ATV's 
longitudinal plane of symmetry that passes through the inside edge of 
the footrest.
    (iii) The horizontal plane 100 mm (4 inches) above plane F, or in 
the case of a tandem ATV, plane G, Figure 6 of this part.

[[Page 45934]]

    (iv) The vertical plane (line BB) parallel to the ATV's 
longitudinal plane of symmetry and 50 mm (2 inches) inboard of the 
outer surface of the rear tire.
    (4) Requirements for ATVs with non-fixed structure. All ATVs 
equipped with a non-fixed type (for example, foldable, removable or 
retractable) structure intended to meet the requirements of this 
paragraph (k) shall be equipped with one or more of the following:
    (i) A warning device (for example, a buzzer or indicator) to 
indicate that the structure is not in the position needed to comply 
with the requirements of this paragraph (k).
    (ii) A device to prevent the ATV from being operated under its own 
power if the structure is not in the position needed to comply with the 
requirements of this paragraph (k).
    (iii) A structure that can be folded, retracted, or removed, such 
that when the structure is folded, retracted, or removed, the ATV 
cannot be operated using the footrest in the normal manner.
    (l) Lighting equipment--(1) Requirement. All ATVs shall have at 
least one headlamp projecting a white light to the front of the ATV, at 
least one tail lamp projecting a red light to the rear, and at least 
one stop lamp or combination tail/stop lamp. The stop lamp shall be 
illuminated by the actuation of any service brake control.
    (2) Specifications. Headlamps shall conform to Surface Vehicle 
Recommended Practice, All Terrain Vehicle Headlamps, SAE J1623 FEB94; 
and tail lamps shall conform to Surface Vehicle Standard, Tail Lamps 
(Rear Position Lamps) for Use on Motor Vehicles Less than 2032 mm in 
Overall Width, SAE J585 MAR00. Stop lamps shall conform to Surface 
Vehicle Standard, Stop Lamps for Use on Motor Vehicles Less than 2032 
mm in Overall Width, SAE J586 MAR00 or Surface Vehicle Recommended 
Practice, Snowmobile Stop Lamp, SAE J278 MAY95.
    (m) Spark arrester. All ATVs shall have a spark arrester of a type 
that is qualified according to the United States Department of 
Agriculture Forest Service Standard for Spark Arresters for Internal 
Combustion Engines, 5100-l c, September 1997 or, Surface Vehicle 
Recommended Practice, Spark Arrester Test Procedure for Medium Size 
Engines, SAE J350 JAN91.
    (n) Tire marking. All ATV tires shall carry the following markings:
    (1) Inflation pressure. Both tire sidewalls shall he marked with 
the operating pressure or the following statement, or an equivalent 
message: ``SEE VEHICLE LABEL OR OWNER'S MANUAL FOR OPERATING 
PRESSURE.'' The messages required by this paragraph shall be in capital 
letters not less than 4 mm (0.156 inch) in height.
    (2) Bead seating pressure. Both tire sidewalls shall be marked with 
the following statement, or an equivalent message: ``Do Not Inflate 
Beyond **psi (**kPa) When Seating Bead.''
    (3) Other Markings. Both tire sidewalls shall have the following 
information:
    (i) The manufacturer's name or brand name.
    (ii) On one tire sidewall, the three-digit week and year of 
manufacture in the form prescribed at 49 CFR 574.5(d), fourth grouping.
    (iii) The size nomenclature of the tire (for example, AT 22 x 10-
9\*\) as standardized by the Tire and Rim Association, Inc. or the 
Japan Automobile Tire Manufacturers Association, Inc.
    (iv) The word ``tubeless'' for a tubeless tire.
    (v) The phrase ``Not For Highway Use'' or ``Not For Highway 
Service.''
    (4) Letter sizes. The information required by paragraphs (n)(2) and 
(3) of this section shall be in letters or numerals no less than 2 mm 
(.078 inch) in height.
    (o) Tire pressure. All ATVs shall be provided with a means to 
verify that the pressures within each tire are within the recommended 
range(s).
    (p) Security. All ATVs shall have a means to deter unauthorized use 
of the ATV.
    (q) Vehicle Identification Number (VIN) or Product Identification 
Number (PIN). Each ATV shall have prominently displayed on the ATV a 
unique VIN assigned by its manufacturer in accordance with 49 CFR Part 
565 or a unique PIN in accordance with Recreation Off-Road Vehicle 
Product Identification Numbering System, SAE International Consortium 
Standard, ICS-1000, issued 2004-9. If the ATV has a VIN number, the 
characters in location 4 and 5 of the number shall be ``A'' and ``T'', 
respectively. The VIN or PIN label shall meet the durability 
requirements, including exposure conditions for outdoor use, of UL 
Standard for Safety for Marking and Labeling Systems, Underwriters 
Laboratories Standard UL 969, fourth edition, October 3, 1995.


Sec.  1410.6  Maximum speed capability test.

    (a) Test conditions. Test conditions shall be as follows:
    (1) ATV test weight shall be the unloaded ATV weight plus the 
vehicle load capacity (including test operator and instrumentation), 
with any added weight secured to the seat or cargo area(s) if so 
equipped.
    (2) Tires shall be inflated to the pressures recommended by the ATV 
manufacturer for the vehicle's test weight.
    (3) The test surface shall be clean, dry, smooth and level 
concrete, or equivalent.
    (b) Test procedure. Measure the maximum speed capability of the ATV 
using a radar gun or equivalent method. The test operator shall 
accelerate the ATV until maximum speed is reached, and shall maintain 
maximum speed for at least 30.5 m (100 ft). Speed measurement shall be 
made when the ATV has reached a stabilized maximum speed. A maximum 
speed test shall consist of a minimum of two measurement test runs 
conducted over the same track, one each in opposite directions. If more 
than two measurement runs are made there shall be an equal number of 
runs in each direction. The maximum speed capability of the ATV shall 
be the arithmetic average of the measurements made. A reasonable number 
of preliminary runs may be made prior to conducting a recorded test.


Sec.  1410.7  Service brake performance test.

    (a) Test conditions. Test conditions shall be as follows.
    (1) The ATV shall be tested at the appropriate test weight 
prescribed in this paragraph (a)(1). The ATV test weight shall be the 
unloaded vehicle weight plus the vehicle load capacity (including test 
operator and instrumentation) with any added weight secured to the seat 
or cargo area(s) (if equipped).
    (2) Tires shall be inflated to the pressures recommended by the ATV 
manufacturer for the vehicle test weight.
    (3) Engine idle speed and ignition timing shall be set according to 
the manufacturer's recommendations.
    (4) Ambient temperature shall be between 0[deg]C (32[deg]F) and 
38[deg]C (100[deg] F).
    (5) The test surface shall be clean, dry, smooth and level 
concrete, or equivalent.
    (6) Any removable speed limiting devices shall be removed and any 
adjustable speed limiting devices shall be adjusted to provide the 
ATV's maximum speed capability.
    (b) Test procedure. The test procedure shall be as follows:
    (1) Measure the maximum speed capability of the ATV in accordance 
with Sec.  1410.6. Determine the braking test speed (V). The braking 
test speed is the speed that is the multiple of 8 km/h (5 mph), which 
is 6 km/h (4 mph) to

[[Page 45935]]

13 km/h (8 mph) less than the maximum speed capability of the ATV.
    (2) Burnish the front and rear brakes by making 200 stops from the 
braking test speed. Stops shall be made by applying front and rear 
service brakes simultaneously, and braking decelerations shall be from 
1.96 m/s\2\ to 4.90 m/s\2\ (0.2 g to 0.5 g).
    (3) After burnishing, adjust the brakes according to the 
manufacturer's recommendation.
    (4) Make six stops from the braking test speed. Stops shall be made 
by applying the front and rear service brakes simultaneously, and 
braking decelerations shall be from 1.96 m/s\2\ to 4.90 m/s\2\ (0.2 g 
to 0.5 g).
    (5) Make four stops from the braking test speed, applying the front 
and rear service brakes. Measure the speed immediately before the 
service brakes are applied. Appropriate markers or instrumentation 
shall be used which will accurately indicate the point of brake 
application. Measure the stopping distance (S).
    (i) Hand lever brake actuation force shall be not less than 22 N (5 
lbf) and not more than 133 N (30 lbf) and foot pedal brake actuation 
force shall be not less than 44 N (10 lbf) and not more than 222 N (50 
lbf).
    (ii) The point of initial application of lever force shall be 25 mm 
(1.0 in.) from the end of the brake lever. The direction of lever force 
application shall be perpendicular to the handle grip in the plane in 
which the brake lever rotates. The point of application of pedal force 
shall be the center of the foot contact pad of the brake pedal, and the 
direction of force application shall be perpendicular to the foot 
contact pad and in the plane in which the brake pedal rotates.
    (c) Performance requirements. (1) For ATVs with maximum speed 
capability of 29 km/h (18 mph) or less, at least one of the four stops 
required by paragraph (b)(5) of this section shall comply with the 
relationship:

S <= V/5.28

Where:

S = brake stopping distance (m)
V = braking test speed (km/hr)

S <= V

Where:

S = brake stopping distance (ft)
V = braking test speed (mph)

    (2) For ATVs with maximum speed capability of greater than 29 km/h 
(18 mph), at least one of the four stops required by paragraph (b)(5) 
of this section shall have an average braking deceleration of 5.88 m/s2 
(0.6 g) or greater. Average braking deceleration can be determined 
according to the following formulae: \1\
---------------------------------------------------------------------------

    \1\ Direct on-board instrumentation may be used to acquire any 
measurement data.

---------------------------------------------------------------------------
a = V\2\/25.92S

Where:

a = average deceleration (m/s2)
S = brake stopping distance (m)
V = braking test speed (km/h)

a = [(.033) x V\2\]/S

Where:

a = average deceleration (g)
S = brake stopping distance (ft)
V = braking test speed (mph)


Sec.  1410.8  Parking brake performance test.

    (a) Test conditions. Test conditions shall be as follows:
    (1) ATV test weight shall be the unloaded ATV weight plus weight 
secured to the seat or cargo area(s) (if equipped), which is equal to 
the manufacturer's stated vehicle load capacity.
    (2) Tires shall be inflated to the pressures recommended by the ATV 
manufacturer for the vehicle test weight.
    (3) The test surface shall be clean, dry, smooth concrete or 
equivalent, having a 30 percent grade.
    (b) Test procedure. The test procedure shall be as follows:
    (1) Burnish the service brakes according to the procedure specified 
in Sec.  1410.7(b)(2) if service brakes are used as part of the parking 
brake.
    (2) Adjust the parking brake according to the procedure recommended 
by the ATV manufacturer.
    (3) Position the ATV facing downhill on the test surface, with the 
longitudinal axis of the ATV in the direction of the grade. Apply the 
parking brake and place the transmission in neutral and leave the ATV 
undisturbed for 5 minutes. Repeat the test with the ATV positioned 
facing uphill on the test surface.
    (c) Performance requirements. When tested according to the 
procedure specified in paragraph (b) of this section, the parking brake 
shall be capable of holding the ATV stationary on the test surface, to 
the limit of traction of the tires on the braked wheels, for 5 minutes 
in both uphill and downhill directions.


Sec.  1410.9  Pitch stability requirements.

    (a) Test conditions. Test conditions shall be as follows:
    (1) The ATV shall be in standard condition, without accessories. 
The ATV and components shall be assembled and adjusted according to the 
manufacturer's instructions and specifications.
    (2) Tires shall be inflated to the ATV manufacturer's recommended 
settings for normal operation. If more than one pressure is specified, 
the highest value shall be used.
    (3) All fluids shall be full (oil, coolant, and the like), except 
that fuel shall be not less than three-fourths full. ATV shall be 
unladen, with no rider, cargo, or accessories.
    (4) Steerable wheels shall be held in the straight ahead position.
    (5) Adjustable suspension components shall be set to the values 
specified at the point of delivery to the dealer.
    (6) Suspension components shall be fixed by means of a locking 
procedure such that they remain in the same position and displacement 
as when the unladen ATV is on level ground, and in the conditions 
specified in paragraphs (a)(1) through (5) of this section.
    (b) Test procedure. The test procedure shall be as follows:
    (1) Calculations based on vehicle metrics:
    (i) Measure and record the wheelbase (L). The measurement of this 
length shall be done with an accuracy of <plus-minus> 5 mm (<plus-
minus> 0.2 inch) or <plus-minus> 0.5%, whichever is greater.
    (ii) Measure and record the front and rear weights, (W<INF>f</INF> 
and W<INF>r</INF>, respectively). W<INF>f</INF> is the sum of the front 
tire loads; and W<INF>r</INF> is the sum of the rear tire loads with 
the ATV level and in the condition specified in subsection (a) of this 
section. The measurements of these weights shall be done with an 
accuracy of <plus-minus> 0.5 kg (<plus-minus> 1.1 lb) or <plus-minus> 
0.5%, whichever is greater.
    (iii) Using the values obtained in paragraphs (b)(1)(i) and (ii) of 
this section, compute and record the quantity as follows: L<INF>1</INF> 
= (W<INF>f</INF>/( W<INF>f</INF> + W<INF>r</INF>)) x L.
    (iv) Measure and record the vertical height between the rear axle 
center and the ground (R<INF>r</INF>). This measurement shall be done 
on level ground, with the ATV in the conditions specified in subsection 
(a) of this section, with an accuracy of <plus-minus> 3 mm (<plus-
minus> 0.1 inch) or <plus-minus> 1.5%, whichever is greater.
    (v) Measure and record the balancing angle alpha. The procedure for 
obtaining this value is as follows: with the ATV on a level surface, 
the front of the vehicle shall be rotated upward about the rear axle 
without setting the rear parking brake or using stops of any kind, 
until the ATV is balanced on the rear tires. The balancing angle alpha 
through which the ATV is rotated shall be measured and recorded with an 
accuracy of <plus-minus> 0.5 degrees. If an assembly protruding from 
the rear of the ATV, such as a carry bar or trailer hitch or hook, 
interferes with the ground surface, so as to not allow a balance to be

[[Page 45936]]

reached, the vehicle shall be placed on blocks of sufficient height to 
eliminate the interference.
    (vi) Repeat the measurement in paragraph (b)(1)(v) of this section 
and determine if the two individual measurements are within 1.0 degree 
of each other. If they are not, repeat the measurements two more times 
and compute the average of the four individual measurements, and use 
that as the value.
    (2) Tilt table procedure. The ATV shall be placed on a variable 
slope single-plane tilt table. The steerable wheels shall be straight 
forward. The ATV shall be positioned on the tilt table with its 
longitudinal center line perpendicular to the tilt axis of the table 
and its rear positioned downhill. The table shall be tilted until lift-
off of the upper tire(s) occurs. Measure the angle at which lift-off of 
the upper wheel(s) occurs. Lift-off shall have occurred when a strip of 
20-gauge steel [approximately 1 mm (.039 inch) thick], 76 mm (3 inch) 
minimum width, can be pulled from or moved under the second uphill tire 
to lift with a force of 9 N (2 lb) or less.
    (c) Performance requirements--(1) Computation from vehicle metrics. 
Using the values obtained in paragraphs (b)(1)(iii), (b)(1)(iv), and 
(b)(1)(vi) of this section, compute the pitch stability coefficient as 
follows: K<INF>p</INF> = (L<INF>1</INF> tan alpha)/(L<INF>1</INF> + 
R<INF>r</INF> tan alpha).
    (2) Computation from tilt table. The pitch stability coefficient 
K<INF>p</INF> is the tangent of the tilt table angle.
    (3) Requirement. The pitch stability coefficient K<INF>p</INF> 
calculated according to paragraph (c)(2) of this section shall be at 
least 1.0.

Subpart C--Requirements for Labeling, Point of Sale Information and 
Instruction


Sec.  1410.10  Labeling requirements.

    (a) General warning label. (1) Each ATV shall have affixed to it a 
general warning label in English that meets the requirements of this 
section.
    (2) Content. The general warning label shall display the safety 
alert symbol and the word ``WARNING'' in capital letters.
    The label shall contain the following, or substantially equivalent, 
statements. They may be arranged on the label to place the prohibited 
actions together and the required actions together.

    ``THIS VEHICLE CAN BE HAZARDOUS TO OPERATE. A collision or 
rollover can occur quickly, even during routine maneuvers such as 
turning and driving on hills or over obstacles, if you fail to take 
proper precautions.''
    ``SEVERE INJURY OR DEATH can result if you do not follow these 
instructions:''
    ``BEFORE YOU OPERATE THIS ATV, READ THE OWNER'S MANUAL AND ALL 
LABELS.''
    ``NEVER OPERATE THIS ATV WITHOUT PROPER INSTRUCTION. Beginners 
should complete a training course.''
    ``NEVER CARRY A PASSENGER ON THIS ATV. You increase your risk of 
losing control if you carry a passenger.''
    ``NEVER OPERATE THIS ATV ON PAVED SURFACES. You increase your 
risk of losing control if you operate this ATV on pavement.''
    ``NEVER OPERATE THIS ATV ON PUBLIC ROADS. You can collide with 
another vehicle if you operate this ATV on a public road.''
    ``ALWAYS WEAR AN APPROVED MOTORCYCLE HELMET, eye protection, and 
protective clothing.''
    ``NEVER CONSUME ALCOHOL OR DRUGS before or while operating this 
ATV.''
    ``NEVER OPERATE THIS ATV AT EXCESSIVE SPEEDS. You increase your 
risk of lowing control if you operate this ATV at speeds too fast 
for the terrain, visibility conditions, or your experience.''
    ``NEVER ATTEMPT WHEELIES, JUMPS, OR OTHER STUNTS.''

    (3) Format. The color scheme, typeface and formatting of the label 
shall be consistent with ANSI Z535.4 (American National Standard for 
Product Safety Signs and Labels (2002).
    (4) Location. This label shall be affixed to the left front fender 
so it is easily visible in its entirety to the operator when seated on 
the vehicle in the proper operating position. If this location is not 
available for a particular ATV, the label shall be affixed to the right 
front fender so as to be easily read by the operator when seated in the 
ATV in the proper operating position.
    (b) Age recommendation warning label. (1) Each ATV shall have 
affixed an age recommendation warning label in English that meets the 
requirements of this section.
    (2) Content. The age recommendation warning label shall display the 
safety alert symbol and the word ``WARNING'' in capital letters. The 
label shall have a circle with a slash through it with the words 
``under 16'' inside the circle. Below the circle, the label shall 
contain the following, or substantially equivalent, statements:

    ``Even youth with ATV experience have immature judgment and 
should never drive an adult ATV.
    Letting children under the age of 16 operate this ATV increases 
their risk of severe injury or death.
    NEVER let children under age 16 operate this ATV.''

    (3) Format. The color scheme, typeface and formatting of the label 
shall be consistent with ANSI Z535.4 (2002).
    (4) Location. This label shall be affixed to the fuel tank so it is 
visible in its entirety to the operator when seated on the vehicle in 
the proper operating position. If this location is not available for a 
particular ATV, or, if affixed at this location the label will not meet 
the durability requirement of paragraph (e) of this section, the label 
shall be placed on the front fender above the label required by 
paragraph (a) of this section so that it is visible in its entirety to 
the operator. If this location is not available for a particular ATV, 
the label shall be placed on the vehicle body immediately forward of 
the seat so it is visible in its entirety to the operator when seated 
on the vehicle in the proper operating position.
    (c) Passenger warning label. (1) Each ATV shall have affixed a 
passenger warning label in English that meets the requirements of this 
section.
    (2) Content. The passenger warning label shall display the safety 
alert symbol and the word ``WARNING'' in capital letters. The label 
shall contain the following, or substantially equivalent, statements:

    ``Passengers can affect ATV balance and steering. The resulting 
loss of control can cause SEVERE INJURY or DEATH.
    NEVER ride on this ATV as a passenger.''

    (3) Format. The color scheme, typeface and formatting of the label 
shall be consistent with ANSI Z535.4 (2002).
    (4) Location. This label shall be affixed either to a flat surface 
of the vehicle body located to the rear of the seat and toward the 
center of the vehicle, or to the rear portion of the vehicle seat 
itself. If neither of these locations is available for a particular 
vehicle, the label shall be affixed to the left rear fender or the left 
side of the body so as to be easily seen by a potential passenger.
    (d) Tire pressure and overload warning label(s). (1) Each ATV shall 
have affixed a label or labels in English that meet the requirements of 
this section warning against improper air pressure in the ATV's tires 
and against overloading. Manufacturers may affix one warning label 
addressing both hazards.
    (2) Content. The label(s) shall contain the safety alert symbol and 
the signal word ``WARNING'' in capital letters. Every label warning 
about improper tire pressure shall contain a statement indicating the 
recommended tire pressure, either on the label or by reference to the 
owner's manual and/or the tires. Every label warning against 
overloading shall contain a statement indicating the maximum weight 
capacity for the ATV model.
    (i) If a manufacturer uses separate tire pressure and overloading 
labels, the

[[Page 45937]]

label to warn of tire pressure shall contain the following, or 
substantially equivalent, statements:

    --``Improper tire pressure can cause loss of control. Loss of 
control can result in severe injury or death.''

    (ii) If a manufacturer uses separate tire pressure and overloading 
labels, the label to warn of overloading hazards shall contain the 
following, or substantially equivalent, statements:

    --``Overloading can cause loss of control. Loss of control can 
result in severe injury or death.''

    (iii) If a manufacturer uses one label for both tire pressure and 
overloading warnings, the label shall contain the following, or 
substantially equivalent, statements:

    ``Improper tire pressure or overloading can cause loss of 
control.
    Loss of control can result in severe injury or death.''

    (3) Format. The color scheme, typeface and formatting of the label 
shall be consistent with ANSI Z535.4 (2002).
    (4) Location. The label(s) shall be affixed to the left rear fender 
above the axle, facing outward in such a position that it (they) can be 
read by the operator when mounting the vehicle.
    (e) Label durability requirements. Each label required or permitted 
by this section shall meet the standards for durability in UL Standard 
for Safety for Marking and Labeling Systems, Underwriters Laboratories 
Standard UL 969, fourth edition, October 3, 1995.
    (f) Discretionary labels. Hazard labels in addition to those 
specified in paragraphs (a) through (d) of this section may be affixed 
to the vehicle provided that:
    (1) The discretionary labels are consistent with ANSI Z535.4 
(2002); and
    (2) Discretionary labels shall be affixed to ATVs in an appropriate 
location that does not detract from the mandatory labels required in 
paragraphs (a) through (d) of this section.


Sec.  1410.11  Hangtag requirements.

    (a) Each ATV shall be equipped at the point of sale with a hang tag 
in English that, at a minimum, contains:
    (1) The contents of the general warning label described in Sec.  
1410.10(a);
    (2) The statement--``This hang tag is not to be removed before 
sale''--; and
    (3) The statement--``Check with your dealer to find out about state 
or local laws regarding ATV operation.''
    (b) Each hang tag shall be attached to the ATV in such a manner as 
to be conspicuous and removable only with deliberate effort.
    (c) Each hang tag shall be at least 4 by 6 inches.


1410.12  Age acknowledgment.

    (a) General. Prior to the sales transaction, the retailer shall 
provide the purchaser of each ATV with an age acknowledgment in the 
form shown in figure 3 of this part.
    (b) Signature. Prior to the sales transaction, the retailer shall 
require that the purchaser of the ATV sign the age acknowledgment 
representing that the purchaser has read and understood the age 
acknowledgment.
    (c) Copies/retention. The retailer shall provide the purchaser of 
the ATV and the manufacturer of the ATV with a copy of the signed age 
acknowledgment. The retailer shall retain the signed original of the 
age acknowledgment for a minimum of five (5) years after the date of 
the purchase of the ATV to which it pertains. The manufacturer shall 
retain the copy of the age acknowledgment for a minimum of five (5) 
years after the date of the purchase of the ATV to which it pertains.


Sec.  1410.13  Instructional/Owner's manual.

    (a) General. (1) Each ATV shall be provided at the point of sale 
with an instructional/owner's manual that meets the requirements of 
this section. All ATVs shall be equipped with a means of carrying the 
manual that protects it from destructive elements while allowing 
reasonable access.
    (2) Each manual shall be written in English and shall be written 
and designed in a manner reasonably calculated to convey information 
regarding safe operation and maintenance of the vehicle to persons who 
read such manual.
    (3) Each manual shall be written in plain, simple language so as to 
be readily comprehended by the average seventh grader, as measured by a 
standard technique for assessing the readability of written materials.
    (4) Information in each manual shall be presented in a meaningful 
sequence designed to permit readers to understand the information 
presented and appreciate its significance.
    (5) Each manual shall be consistent with other safety messages 
required by this part, including those contained in warning labels, 
hang tags, and the safety video.
    (6) Each manufacturer shall retain a copy of the manual for each 
model until five years after the model has ceased to be in production. 
The manufacturer shall make the manual available to CPSC upon request.
    (b) Contents. Each manual shall contain--
    (1) A statement on the outside front cover that, at a minimum, 
alerts the reader that the manual contains important safety information 
which should be read carefully.
    (2) A statement on the outside front cover stating that the ATV is 
intended for operators 16 years of age or older.
    (3) Definitions for ``warning'' and ``caution'' that are consistent 
with, or in any event not weaker than, the definitions for those terms 
contained in American National Standards Institute (ANSI) standard 
Z535-2002, along with an introductory statement alerting the reader to 
the significance of the safety alert symbol and the signal words.
    (4) A reminder that the safety alert symbol with the word 
``WARNING'' indicates a potential hazard that could result in serious 
injury or death. This reminder shall be repeated immediately preceding 
the table of contents, at the beginning and end of the section 
describing proper operating procedures, on the last page before the 
outside back cover (or on the inside back cover), and a total of at 
least five (5) more times, appropriately spaced, within sections 
containing warnings.
    (5) An introductory safety message emphasizing the importance of 
reading and understanding the manual prior to operation of the ATV, the 
importance of and availability of the instructional training required 
by Sec.  1410.15 of this part, and the importance of the age 
recommendation for the particular model. This introductory message 
shall contain, at a minimum, the following statement:

    ``Failure to follow the warnings contained in this manual can 
result in SERIOUS INJURY or DEATH''

    (6) An introductory notice stating, at a minimum:

    ``This ATV is not intended for children. Children should only 
ride youth ATVs that are specifically intended for children under 16 
years of age.''

    (7) An introductory safety section which, at a minimum, contains 
the following safety messages in the form shown:

    ``AN ATV IS NOT A TOY AND CAN BE HAZARDOUS TO OPERATE. An ATV 
handles differently from other vehicles including motorcycles and 
cars. A collision or rollover can occur quickly, even during routine 
maneuvers such as turning and driving on hills or over obstacles, if 
you fail to take proper precautions.
    SEVERE INJURY OR DEATH can result if you do not follow these 
instructions:
    1. Read this manual and all labels carefully and follow the 
operating procedures described.
    2. Never operate an ATV without proper instruction. Take a 
training course. Contact

[[Page 45938]]

an authorized ATV dealer to find out about the training courses near 
you.
    3. Never allow a child under 16 to operate this ATV, which is 
not intended for operators under 16 years of age.
    4. Never carry a passenger on this ATV.
    5. Never operate an ATV on any paved surfaces, including 
sidewalks, driveways, parking lots and streets.
    6. Never operate an ATV on any public street, road or highway, 
even a dirt or gravel one.
    7. Never operate an ATV without wearing an approved helmet that 
fits properly. You should also wear eye protection (goggles or face 
shield), gloves, boots, long-sleeved shirt or jacket, and long 
pants.
    8. Never consume alcohol or drugs before or while operating an 
ATV.
    9. Never operate at excessive speeds. Always go at a speed that 
is proper for the terrain, visibility and operating conditions, and 
your experience.
    10. Never attempt wheelies, jumps, or other stunts.
    11. Always inspect your ATV each time you use it to make sure it 
is in safe operating condition. Always follow the inspection and 
maintenance procedures and schedules described in this manual.
    12. Always keep both hands on the handlebars and both feet on 
the footpegs of the ATV during operation.
    13. Always go slowly and be extra careful when operating on 
unfamiliar terrain. Always be alert to changing terrain conditions 
when operating the ATV.
    14. Never operate on excessively rough, slippery or loose 
terrain until you have learned and practiced the skills necessary to 
control the ATV on such terrain. Always be especially cautious on 
these kinds of terrain.
    15. Always follow proper procedures for turning as described in 
this manual. Practice turning at low speeds before attempting to 
turn at faster speeds. Do not turn at excessive speed.
    16. Never operate the ATV on hills too steep for the ATV or for 
your abilities. Practice on smaller hills before attempting larger 
hills.
    17. Always follow proper procedures for climbing hills as 
described in this manual. Check the terrain carefully before you 
start up any hill. Never climb hills with excessively slippery or 
loose surfaces. Shift your weight forward. Never open the throttle 
suddenly or make sudden gear changes. Never go over the top of any 
hill at high speed.
    18. Always follow proper procedures for going down hills and for 
braking on hills as described in this manual. Check the terrain 
carefully before you start down any hill. Shift your weight 
backward. Never go down a hill at high speed. Avoid going down a 
hill at an angle that would cause the vehicle to lean sharply to one 
side. Go straight down the hill where possible.
    19. Always follow proper procedures for crossing the side of a 
hill as described in this manual. Avoid hills with excessively 
slippery or loose surfaces. Shift your weight to the uphill side of 
the ATV. Never attempt to turn the ATV around on any hill until you 
have mastered the turning technique described in this manual on 
level ground. Avoid crossing the side of a steep hill if possible.
    20. Always use proper procedures if you stall or roll backwards 
when climbing a hill. To avoid stalling, use proper gear and 
maintain a steady speed when climbing a hill. If you stall or roll 
backwards, follow the special procedure for braking described in 
this manual. Dismount on the uphill side or to a side if pointed 
straight uphill. Turn the ATV around and remount, following the 
procedure described in this manual.
    21. Always check for obstacles before operating in a new area. 
Never attempt to operate over large obstacles, such as large rocks 
or fallen trees. Always follow proper procedures when operating over 
obstacles as described in this manual.
    22. Always be careful when skidding or sliding. Learn to safely 
control skidding or sliding by practicing at low speeds and on 
level, smooth terrain. On extremely slippery surfaces, such as ice, 
go slowly and be very cautious in order to reduce the chance of 
skidding or sliding out of control.
    23. Never operate an ATV in fast flowing water or in water 
deeper than that specified in this manual. Remember that wet brakes 
may have reduced stopping ability. Test your brakes after leaving 
water. If necessary, apply them several times to let friction dry 
the linings.
    24. Always be sure there are no obstacles or people behind you 
when you operate in reverse. When it is safe to proceed in reverse, 
go slowly.
    25. Always use the size and type tires specified in this manual. 
Always maintain proper tire pressure as described in this manual.
    26. Never modify an ATV through improper installation or use of 
accessories.
    27. Never exceed the stated load capacity for an ATV. Cargo 
should be properly distributed and securely attached. Reduce speed 
and follow instructions in the manual for carrying cargo or pulling 
a trailer. Allow greater distance for braking.
    FOR MORE INFORMATION ABOUT ATV SAFETY, visit the CPSC website at 
www.cpsc.gov or call the Consumer Product Safety Commission at 1-
800-638-2772, or [Insert contact number for manufacturer].''

    (8) An appropriate table of contents identifying the major portions 
of the manual.
    (9) Descriptions of the location of warning labels on the ATV and 
an introductory statement emphasizing the importance of understanding 
and following the labels and the importance of keeping the labels on 
the ATV. The introductory statement shall also contain instructions on 
how to obtain a replacement label in the event any label becomes 
difficult to read. These instructions shall include a toll-free 
telephone number that can be called to obtain a replacement label.
    (10) A telephone number or email address for the owner of the ATV 
to contact the manufacturer to report safety issues and/or seek 
information on the proper, safe operation of the ATV.
    (11) A description of pre-operating inspection procedures and a 
statement emphasizing the importance of these procedures.
    (12) A description of proper operating procedures and of potential 
hazards associated with improper operation of the ATV. The section of 
each manual devoted to describing proper operating procedures shall 
include material addressing in narrative text form and in appropriate 
detail all of the topics addressed in paragraph (b)(7) of this section. 
Such narrative text shall identify particular potential hazards 
associated with the types of operation or behavior in question, the 
possible consequences of such operation or behavior, and shall describe 
the manner in which the vehicle should be properly operated to avoid or 
reduce the risk associated with such hazards. Such narrative text shall 
include warning statements and corresponding illustrations in 
conformance with the requirements of this section and Sec.  1410.10 of 
this part. The language of the narrative sections accompanying each 
warning shall not contradict any information contained in the warning 
section and shall be written to draw attention to the warning.
    (13) Descriptions of proper maintenance, storage, and 
transportation procedures.
    (14) On the outside back cover, the contents of the general warning 
label required by Sec.  1410.10(a).
    (c) Where a manual describes a potential hazard that is not 
addressed in this section, but which nevertheless meets the definition 
of a potential hazard for which a ``warning'' or ``caution,'' as these 
terms are defined in ANSI Standard Z535.4-2002, is appropriate, the 
discussion of that potential hazard shall be accompanied by a 
``warning'' or ``caution'' statement which conforms to the requirements 
of ANSI Standard Z535.4-2002 and this section.


Sec.  1410.14  Safety video.

    (a) General. The retailer shall provide the purchaser with a safety 
video at or before the completion of the purchase transaction. The 
safety video shall be designed to communicate to an audience consisting 
of prospective purchasers and users, including children between the 
ages of 9 and 16, and their parents.
    (b) Title. The title of the safety video shall indicate that the 
video provides safety information concerning ATV operation.

[[Page 45939]]

    (c) Content. The safety video shall communicate the following:
    (1) The contents of the hang tag described in Sec.  1410.11;
    (2) The concept that a person operating an ATV should know his or 
her limitations and not attempt to perform any maneuver or traverse any 
terrain if performing the maneuver or operating on the terrain is 
beyond that person's capabilities and experience;
    (3) The importance of practicing and gradually progressing from 
basic to more complex maneuvers; and
    (4) The importance of keeping alert at all times and the concept 
that even a brief distraction can lead to loss of control resulting in 
a severe or fatal accident.
    (5) ATV-related death and injury statistics both for all riders and 
for children under the age of 16. The video may use rolling five-year 
averages, and the statistics only need to be updated if there is a 
statistically significant change in either the death or injury 
statistics. Such change shall be noted in the subsequent video.
    (d) Dramatization. All dramatizations designed to communicate any 
of the concepts set forth in the preceding subsection shall be 
unambiguous. To avoid ambiguity and ensure clarity, dramatizations 
shall:
    (1) In the case of dramatizations that show an accident occurring, 
averted, or about to occur, the video shall contain no intervening 
events that detract from communication of the hazard (for example, the 
presence of an obstacle on a paved surface when communicating the 
hazard of operating on a paved surface, or a person running in front of 
an ATV when communicating the hazard of carrying passengers); and
    (2) In the case of dramatizations that show either the conduct, 
terrain, or maneuvers that a person should avoid, or the conduct that a 
person should observe, the video shall also unequivocally state the 
relevant safety message, either verbally by means of lines spoken by a 
screen character or narrator, in written form, or both.
    (e) Format. The safety video shall be made available in at least 
one commonly used format, e.g., VHS or DVD, and the purchaser shall be 
given the option at no cost of procuring the safety video in at least 
one format other than the one originally supplied with the ATV at the 
time of purchase.
    (f) Retention. The manufacturer shall retain a copy of the safety 
video until five years after the model to which the video applies 
ceases to be in production. The manufacturer shall make the video 
available to CPSC upon request.


1410.15  Instructional training.

    (a) General. The manufacturer shall provide to the purchaser at no 
charge a training course for the purchaser and each member of the 
purchaser's immediate family who meets or exceeds the minimum age 
recommendation for the ATV in question. The training course shall be 
provided in the form of one certificate valid for the purchaser and 
each qualifying member of the purchaser's immediate family redeemable 
at no cost for attendance at a training course meeting the requirements 
of this section.
    (b) Form of certificate. Each certificate shall identify the VIN or 
PIN number for the ATV to which it pertains and shall have no 
expiration date. In addition the certificate shall include a toll-free 
telephone number or other readily useable means for the purchaser to 
contact the training organization to arrange for training.
    (c) Retailer responsibility. The retailer shall provide the 
certificate(s) to the purchaser at the time of purchase and shall 
obtain the purchaser's signature on the training acknowledgment form 
shown in Figure 4 of this part. The retailer shall retain the signed 
original of the training availability form and shall provide the 
purchaser and the manufacturer of the ATV with a copy.
    (d) Course content. The training curriculum shall, at a minimum, 
address the following:
    (1) The risks of ATV-related deaths and injuries (risk awareness).
    (2) The role of safety equipment, including identifying suitable 
equipment, properly using equipment, and understanding why it is used.
    (3) Rider responsibilities, including:
    (i) Why children/youths should not ride adult ATVs;
    (ii) Why all ATV users should take a hands-on safety training 
course;
    (iii) Why one should never ride a youth ATV or non-tandem adult ATV 
with a passenger or as a passenger;
    (iv) Why one should never drive an ATV on paved roads;
    (v) Why one should always wear a helmet and other protective gear 
while on an ATV; and
    (vi) Why one should never drive an ATV while under the influence of 
alcohol or drugs.
    (4) Identifying displays and controls;
    (5) Recognizing limitations, including inclines and rider 
abilities;
    (6) Evaluating a variety of situations to predict proper course of 
action, including terrain obstacles and behavior of other riders;
    (7) Demonstrating successful learning of riding skills, including:
    (i) Starting and stopping;
    (ii) Negotiating turns, including gradual, sharp, and quick turns, 
weaving, and evasive maneuvers;
    (iii) Stopping in a turn;
    (iv) Emergency braking while straight and while turning.
    (v) Negotiating full track and partial track obstacles.
    (vi) Negotiating hills, including ascending, descending, 
traversing, and emergency situations; and
    (vii) Combining skills together in a non-predictable manner (i.e. 
trail ride or free riding period with instructor supervision and 
critique).
    (e) Course structure. The course shall include classroom, field, 
and trail activities.
    (f) Course duration. The course duration shall be sufficient to 
cover the topics noted in this section, allow for each student to 
individually master the riding skills addressed in the course at the 
level commensurate with the terrain at the location of the course, and 
allow for written and riding skills tests.
    (g) Course accessibility. The course shall be provided within a 
reasonable time from the date of purchase of the ATV and a reasonable 
distance from the place of purchase of the ATV.

Subpart D--Requirements for Tandem ATVs


Sec.  1410.16  Requirements in general for tandem ATVs.

    All tandem ATVs shall meet the requirements stated in Subpart B and 
Subpart C of this part except as specified differently in this subpart 
D.


Sec.  1410.17  Equipment and configuration requirements for tandem 
ATVs.

    (a) Passenger environment. All tandem ATVs shall have a passenger 
backrest and handhold which meet the following requirements:
    (1) Passenger location and restraint. The passenger seating area 
behind the operator area shall be equipped with a generally vertical 
cushioned passenger backrest at the back of the seating area that shall 
be capable of withstanding a 900 N (202 lb.) loading force applied 
horizontally toward the rear at a height above the seating area of at 
least 162 cm (8 inches), without failure or permanent deformation.
    (2) Passenger handholds. Two handholds shall be provided and be 
located on each side of the passenger seating area in a symmetrical 
manner. These handholds must be able to withstand, without failure or 
permanent deformation, a vertical force of 1000 N (224 lb.) applied 
statically to the center of the surface of the handhold. Handholds 
shall allow the passenger to

[[Page 45940]]

dismount without interference from the handholds.
    (b) Operator and Passenger foot environment. All two-person ATVs 
shall have a foot support structure covered by footboards and distinct 
foot pegs for the operator and the passenger respectively. The minimum 
projected horizontal distance between the foot pegs shall be 230mm (9 
inches) as measured on a line parallel to the longitudinal axis of the 
vehicle. When normally positioned on the foot pegs, the operator and 
passenger foot print must not overlap as projected on a horizontal 
plane and the passenger footprint must be contained in the projected 
footboard area. The operator and passenger foot environment shall meet 
the requirements in Sec.  1410.5(k)(1) through (3). See Figures 5 and 6 
of this part.
    (c) Mechanical suspension. All tandem ATVs shall have mechanical 
suspension for all wheels in addition to what is provided by the tires. 
Each wheel shall have a minimum travel of 102 mm (4 inches).
    (d) Lighting equipment. Tandem ATVs that are wider than 1500 mm 
shall have at least two headlights and two tail lamps.


Sec.  1410.18  Pitch stability requirements for tandem ATVs.

    (a) Test conditions. Test conditions shall be as follows:
    (1) The ATV shall be in standard condition, without accessories. 
The ATV and components shall be assembled and adjusted according to the 
manufacturer's instructions and specifications.
    (2) Tires shall be inflated to the tandem ATV manufacturer's 
highest recommended pressure.
    (3) All fluids shall be full (oil, coolant, and the like), except 
that fuel shall be not less than three-fourths full. ATV shall be 
unladen, with no rider, passenger, cargo, or accessories except as 
noted per the following conditions.
    (4) Steerable wheels shall be held in the straight ahead position.
    (5) Adjustable suspension components shall be set to the highest 
values recommended by the manufacturer.
    (6) A weight of 91 kg <plus-minus> 3 (200 lb <plus-minus> 7) shall 
be securely fastened to the passenger seat to simulate a passenger. The 
center of gravity of the weight shall be 15 cm <plus-minus> 2 (6 inches 
<plus-minus> 1) above the passenger supporting surface and 25 cm <plus-
minus> 2 (10 inches <plus-minus> 1) forward of the front surface of the 
back rest. The back rest shall be adjusted to its most rearward 
position.
    (7) A weight of 91 kg <plus-minus> 3 (200 lb <plus-minus> 7) shall 
be securely fastened to the operation seat to simulate an operator. The 
center of gravity of the weight shall be 15 cm <plus-minus> 2 (6 inches 
<plus-minus> 1) above the operator supporting surface and either 30 cm 
<plus-minus> 2 (12 inches <plus-minus> 1) ahead of the passenger center 
of gravity.
    (8) The area under the tires on the table may be covered with \3/
4\'' No. 1 diamond shaped steel expanded metal grid (or plate) or 
similar material to engage tire tread and prevent tire sliding.
    (b) Test procedure. The tandem ATV shall be placed on a variable 
slope single-plane tilt table. The steerable wheels shall be straight 
forward. The ATV shall be positioned on the tilt table with its 
longitudinal center line perpendicular to the tilt axis of the table 
and its rear positioned downhill. The table shall be tilted until lift-
off of the upper wheels(s) occurs. Measure the angle at which lift-off 
of the upper wheel(s) occurs. Lift-off shall have occurred when a strip 
of 20-gauge steel [approximately 1 mm (.039 inch) thick], 76 mm (3 
inch) minimum width, can be pulled from or moved under the second 
uphill tire to lift with a force of 9 N (2 lb) or less.
    (c) Performance requirements. The angle of the tilt table with the 
tandem ATV positioned as described in 9.2.2 shall reach a minimum of 36 
degrees (73% slope) before lift-off occurs.


Sec.  1410.19  Information requirements for tandem ATVs.

    Each tandem ATV shall meet the requirements of subpart C of this 
part, with the following exceptions.
    (a) Labeling--(1) General warning label. The general warning label 
required by Sec.  1410.10(a) shall omit the statement ``NEVER CARRY A 
PASSENGER. You increase your risk of losing control if you carry a 
passenger.''
    (2) Passenger warning label. (i) Content. Instead of the warning 
statement specified in Sec.  1410.10(c), the passenger warning label 
shall state ``NEVER CARRY MORE THAN 1 PASSENGER'' in capital letters 
and shall recommend the following hazard-avoidance behaviors:

    1. Never carry a passenger less than twelve (12) years old or 
twelve years old or older who is too small to firmly plant his/her 
feet on the footrests and to securely grab the handles;
    2. Never allow a passenger to sit in a location other than the 
passenger seat;
    3. Never carry a passenger who is not securely grasping the grip 
handles at all times.

    (ii) Location. The passenger warning label shall be affixed to the 
front fender of each tandem ATV so it is adjacent to the general 
warning label and can be easily read by the operator when seated on the 
ATV in the proper operating position.
    (b) Hangtags. The hangtag stating the contents of the general 
warning label shall meet the requirements of Sec.  1410.11.
    (c) Instructional/owner's manuals. Instead of instructing that 
operators should never carry passengers on ATVs, instructional/owner's 
manuals shall contain the following, or substantially equivalent 
statement:

    ``NEVER CARRY MORE THAN ONE PASSENGER. This ATV has been 
designed specifically to carry one passenger.''

Subpart E--Certification/Testing/Recordkeeping


Sec.  1410.20  Certification.

    (a) At the location of the VIN or PIN number, the following 
statement shall be made: ``The manufacturer certifies that this ATV 
complies with all applicable requirements of 16 C.F.R. Part 1410.''
    (b) The VIN number or PIN number and the compliance statement shall 
meet the durability requirements of UL Standard for Safety for Marking 
and Labeling Systems, Underwriters Laboratories Standard UL 969, fourth 
edition, October 3, 1995.


Sec.  1410.21  Testing.

    Each manufacturer of ATVs subject to this part shall perform or 
cause to be performed testing sufficient to demonstrate on an 
objectively reasonable basis that each ATV produced by that 
manufacturer meets the performance requirements of Sec. Sec.  1410.5 
through 1410.9 of this part for single rider ATVs and Sec. Sec.  
1410.16 through 1410.18 of this part for tandem ATVs.


Sec.  1410.22  Recordkeeping.

    (a) Manufacturer requirements. Each manufacturer (the importer is 
considered a manufacturer for purposes of this part) of ATVs subject to 
this part shall:
    (1) Maintain records in English sufficient to demonstrate on an 
objectively reasonable basis that each ATV produced by that 
manufacturer complies with the requirements of this part;
    (2) Retain records required by this part for a period of at least 
five (5) years after production of the model of ATV to which the 
records pertain ceases;
    (3) Maintain records required by this part at a location in the 
United States; and
    (4) Make records required by this part available for inspection at 
the request of

[[Page 45941]]

a duly authorized representative of the U.S. Consumer Product Safety 
Commission.
    (b) Retailer requirements. Each retailer of ATVs subject to this 
part shall:
    (1) Maintain the original of each age acknowledgment required by 
Sec.  1410.12 of this part and each acknowledgment of training 
availability required by Sec.  1410.15 of this part for a period of at 
least five (5) years after the date of purchase of the ATV to which the 
acknowledgments pertain;
    (2) Maintain records required by this section at a location in the 
United States; and
    (3) Make records required by this section available for inspection 
at the request of a properly authorized representative of the U.S. 
Consumer Product Safety Commission.
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[[Page 45948]]

PART 1500--HAZARDOUS SUBSTANCES AND ARTICLES; ADMINISTRATION AND 
ENFORCEMENT REGULATIONS

    3. The authority for part 1500 continues to read as follows:

    Authority: 15 U.S.C. 1261-1278.

    4. Section 1500.18 is amended to add a new paragraph (a)(20) to 
read as follows:


Sec.  1500.18  Banned toys and other banned articles intended for use 
by children.

    (a) * * *
    (20)(i) Any three-wheeled youth all terrain vehicle, as defined in 
Sec.  1515.2(a) that is manufactured or imported on or after [180 days 
after issuance of final rule] and
    (ii) Any youth all terrain vehicle, as defined in Sec.  1515.2(a), 
that is manufactured or imported on or after [180 days after issuance 
of final rule] and that does not meet the requirements of Part 1515.
    (iii) (A) Findings. In order for the Commission to issue a rule 
under section 2(q)(1) of the FHSA classifying a substance or article as 
a banned hazardous substance, the Commission must make certain findings 
and include these findings in the regulation. 15 U.S.C. 1262(i)(2). 
These findings are discussed in paragraphs (a)(20)(iii)(B) through (D) 
of this section.
    (B) Voluntary standards. The current voluntary standard, ANSI/SVIA-
1-2001, specifies requirements for the mechanical operation of single 
rider ATVs (both for adult and youth ATVs). The major manufacturers 
appear to comply with most provisions of the voluntary standard. 
However, the voluntary standard does not contain information 
requirements for such things as warning labels, owners manuals and 
training. Thus, compliance with the voluntary standard alone would not 
be adequate to eliminate the risk of injury. Many ATV incidents occur 
because of the way the ATV is used, and the Commission cannot issue 
requirements for how a product should be used (e.g., requiring helmets, 
prohibiting children from riding adult ATVs). To affect these behaviors 
the Commission must act through requirements directing manufacturers 
and retailers to take actions that inform consumers of the risks 
associated with ATVs and advise consumers how they could reduce these 
risks. Although the major manufacturers have agreed to take many of the 
informational actions proposed in the rules through agreements with the 
Commission, these are completely voluntary. A company could decide to 
change any of the actions it has agreed to at any time. Moreover, new 
market entrants, a growing portion of the ATV market, may not be 
following the voluntary standard (and they do not have individual 
agreements with the Commission). These new entrants now comprise 
approximately 10 percent of the market and their share of the market is 
likely to increase. Thus, the Commission finds that compliance with the 
ANSI/SVIA-1-2001 voluntary standard is not likely to eliminate or 
adequately reduce the risk of injury associated with youth ATVs, and it 
is unlikely that there will be substantial compliance with the 
voluntary standard.
    (C) Relationship of benefits to costs. Because most manufacturers 
are currently taking most of the actions that the proposed rules would 
require, costs from the proposed rules are likely to be small. The 
initial potential reduction of ATV-related deaths and injuries may also 
be small. However, mandating the mechanical and information 
requirements will mean that new entrants to the market will have to 
comply with the requirements as well. The proposed rule would impose 
some testing and recordkeeping costs. The staff estimates these to be 
about $462,000 annually. The Commission proposes to establish 
categories of youth ATVs based on maximum speed rather than engine 
size. This should not impose additional costs on manufacturers because 
these delineations are similar to those already in the ANSI/SVIA-1-2001 
voluntary standard. However, this change could lead to a greater 
variety of youth ATVs which could result in more children riding youth 
ATVs rather than larger, riskier adult models. Such a shift of children 
to youth ATVs could reduce ATV-related deaths and injuries because the 
risk of injury for riders under the age of 16 driving adult ATVs is 
about twice the risk of injury of those who are driving age-appropriate 
ATVs. Additionally, the proposed change could result in more children 
receiving formal training, and this too could reduce deaths and 
injuries.
    (D) Least burdensome requirement. The proposed rule is likely to 
impose only a small burden on ATV manufacturers and retailers. The 
Commission is essentially mandating the current practice that many 
manufacturers are following. Nevertheless, the proposed rule is likely 
to reduce the risk of injury associated with ATVs because it will 
enable the Commission to directly enforce the provisions of the rule 
and will bring new entrants under federal regulation.
* * * * *
    5. Add part 1515 to Subchapter C to read as follows:

PART 1515--REQUIREMENTS FOR YOUTH ALL TERRAIN VEHICLES

Subpart A--General Requirements
Sec.
1515.1 Purpose, scope, effective date.
1515.2 Definitions.
1515.3 Requirements in general.
Subpart B--Requirements for Equipment, Configuration and Performance
1515.4 Equipment and configuration requirements.
1515.5 Maximum speed capability test.
1515.6 Maximum speed capability requirements.
1515.7 Service brake performance test.
1515.8 Parking brake performance test.
1515.9 Pitch stability requirements.
Subpart C--Requirements for Labeling, Point of Sale Information and 
Instruction
1515.10 Labeling requirements.
1515.11 Hangtag requirements.
1515.12 Age acknowledgment.
1515.13 Instructional/owner's manual.
1515.14 Safety video.
1515.15 Instructional training.
Subpart D--Certification/Testing/Recordkeeping
1515.16 Certification.
1515.17 Testing.
1515.18 Recordkeeping.

Figures

Figure 1 to Part 1515--Operator Foot Environment--Plan View
Figure 2 to Part 1515--Operator Foot Environment--Front View
Figure 3 to Part 1515--Age Acknowledgment Form
Figure 4 to Part 1515--Training Acknowledgment Form

    Authority: 15 U.S.C. 1261, 1262, and 1269.

Subpart A--General Requirements


Sec.  1515.1  Purpose, scope, effective date.

    (a) Purpose. The purpose of the standard in this part is to reduce 
deaths and injuries associated with youth all terrain vehicles (ATVs) 
by ensuring that all youth ATVs meet certain technical requirements and 
that consumers have sufficient safety information about operating youth 
ATVs.
    (b) Scope and effective date. Youth all terrain vehicles, as 
defined in Sec.  1515.2(a), manufactured or imported on or after [date 
180 days from issuance of final rule] are subject to the requirements 
of this part and 16 CFR 1500.18(a)(20).


Sec.  1515.2  Definitions.

    In addition to the definitions in section 2 of the Federal 
Hazardous

[[Page 45949]]

Substances Act (15 U.S.C. 1261), the following definitions apply for 
purposes of this part 1515.
    (a) Youth all terrain vehicle, or youth ATV, means a three-or four-
wheeled motorized vehicle intended for use by an operator less than 
sixteen (16) years of age, that travels on low pressure tires, has a 
seat designed to be straddled by the operator, has handlebars for 
steering, and is intended for off-road use on non-paved surfaces.
    (b) Junior ATV means a youth ATV intended for use by an operator of 
at least 6 years of age.
    (c) Pre-teen ATV means a youth ATV intended for use by an operator 
of at least 9 years of age.
    (d) Teen ATV means a youth ATV intended for use by an operator of 
at least 12 years of age.
    (e) Footrest means a structural support for the operator's foot, 
can include footpegs and footboards.
    (f) Handlebar means a device used for steering and rider support 
and as a place to mount hand-operated controls.
    (g) Low pressure tire means a tire designed for off-road use on 
ATVs, and having a recommended tire pressure of no more than 69 kPa (10 
psi).
    (h) Manual fuel shutoff control means a device designed to turn the 
fuel flow from the fuel tank on and off.
    (i) Manufacturer means any entity that produces youth ATVs. For 
purposes of this part 1515, an importer is a manufacturer.
    (j) Mechanical suspension means a system which permits vertical 
motion of an ATV wheel relative to the chassis and provides spring and 
damping forces.
    (k) Parking brake means a brake system which, after actuation, 
holds one or more brakes continuously in an applied position without 
further action.
    (l) PIN means the Product Identification Number assigned in 
accordance with Recreation Off-Road Vehicle Product Identification 
Numbering System, SAE International Consortium Standard, ICS-1000, 
issued 2004-9.
    (m) Retailer means, for purposes of this part, a person to whom an 
ATV is delivered or sold for purposes of sale or distribution by such 
person to a consumer.
    (n) Safety alert symbol means the symbol which indicates a 
potential personal injury hazard as defined in section 4.10 of ANSI 
Z535.4-2002, American National Standard for Product Safety Signs and 
Labels. 
    (o) Service brake means the primary brake system used for slowing 
and stopping a vehicle.
    (p) Spark arrester means an exhaust system component which limits 
the size of carbon particles expelled from a tailpipe.
    (q) Speed limiting device means a device intended to limit the 
maximum speed of a vehicle.
    (r) Three-wheeled youth all terrain vehicle means a youth all 
terrain vehicle as defined in paragraph (a) of this section that has 
three wheels.
    (s) Throttle control means a control which is located on the 
handlebar and is used to control engine power.
    (t) VIN means a Vehicle Identification Number assigned as specified 
in 49 CFR Part 565.
    (u) Wheelbase (L) means the longitudinal distance between the 
center of the front axle and the center of the rear axle.
    (v) Wheel travel means the displacement of a reference point on the 
suspension (such as the wheel axle) from when the suspension is fully 
extended (no force applied) to when it is fully compressed.


Sec.  1515.3  Requirements in general.

    (a) Each youth ATV shall be designed for use only by a single 
rider, shall meet the equipment, configuration and performance 
requirements specified in subpart B of this part, and shall meet the 
requirements for labeling, point of sale information, instruction 
manuals, and instructional training specified in subpart C of this 
part.
    (b) Each youth ATV manufacturer shall comply with the requirements 
of this part applicable to manufacturers. For purposes of this part, an 
ATV importer is an ATV manufacturer.
    (c) Each youth ATV retailer shall comply with the requirements of 
this part applicable to such retailers.

Subpart B--Requirements for Equipment, Configuration and 
Performance


Sec.  1515.4  Equipment and configuration requirements.

    (a) Service brakes. All youth ATVs shall have either independently-
operated front and rear brakes, or front and rear brakes that are 
operated by a single control, or both. These brakes shall meet the 
requirements of Sec.  1515.7.
    (1) Independently-operated front brakes. Independently-operated 
front brakes shall be operated by a lever located on the right side of 
the handlebar and shall be operable without removing the hand from the 
handlebar.
    (2) Independently-operated rear brakes. Independently-operated rear 
brakes shall be operated by either a pedal which is located near the 
right footrest and operable by the right foot or by a lever located on 
the left side of the handlebar and operable without removing the hand 
from the handlebar or by both.
    (3) Simultaneously operated front and rear brakes. Simultaneously 
operated front and rear brakes shall be operated by either a pedal 
which is located near the right footrest and operable by the right foot 
or by a lever located on the left side of the handlebar and operable 
without removing the hand from the handlebar or by both.
    (b) Parking brake. All youth ATVs shall have a parking brake 
capable of holding the youth ATV stationary under prescribed 
conditions. The parking brake or parking mechanism shall meet the 
performance requirements of Sec.  1515.8.
    (c) Mechanical suspension. All youth ATVs shall have mechanical 
suspension for all wheels. Each wheel shall have a minimum wheel travel 
of 50 mm (2 inches). Springing and damping properties shall be provided 
by components other than the tire.
    (d) Engine stop switch. All youth ATVs shall have an engine stop 
switch which is mounted on the left handlebar and is operable by the 
thumb without removing the hand from the handlebar.
    (1) Operation. The engine stop switch shall not require the 
operator to hold it in the off position to stop the engine.
    (2) Color of device. The switch-operating device shall be orange.
    (e) Throttle control. All youth ATVs shall be equipped with a means 
of controlling engine power through a throttle control. The throttle 
control shall be located on the right side of the handlebar and shall 
be operable without removing the hand from the handlebar. The throttle 
control shall be self-closing to an idle position upon release of the 
operator's hand from the control.
    (f) Automatic transmission. All youth ATVs shall be equipped with a 
transmission that effects graduated gear ratios, in proper relation to 
speed and torque, without the active participation of the operator. It 
shall not be necessary for the operator to engage a clutch or choose a 
gear in order for the vehicle's engine to maintain its optimum speed.
    (g) Drivetrain controls--(1) Directional/range controls. Controls 
for selecting forward, neutral, or reverse or for selecting overall 
transmission ranges, or for selecting the differential drive (2-wheel 
or 4-wheel) shall have a defined shift pattern marked for the operator.
    (2) Neutral indicator. All youth ATVs with a neutral position shall 
have either a neutral indicator readily visible to the operator when 
seated on the ATV or a means to prevent starting of the ATV unless the 
transmission is in the neutral

[[Page 45950]]

position. The indicator, if provided, shall be activated whenever the 
ignition system is on and the transmission is in neutral.
    (3) Reverse indicator. All youth ATVs with a reverse position shall 
have a reverse indicator readily visible to the operator when the 
operator is seated on the ATV. The indicator shall be activated 
whenever the engine is running and the transmission is in reverse.
    (4) Electric start interlock. An interlock shall be provided to 
prevent the youth ATV engine from being started by electric cranking 
unless the transmission is disengaged or the brake is applied.
    (h) Flag pole bracket. All youth ATVs shall have a flag pole 
bracket at the rear of the ATV that provides a rigid mounting location 
for a flag pole having a 13 mm (0.5 inch) diameter mounting shaft.
    (i) Manual fuel shutoff control. If a youth ATV is equipped with a 
manual fuel shutoff control, the device shall be operable as prescribed 
in 49 CFR 571.123, Table 1.
    (j) Handlebars. The handlebar and its mounting shall present no 
rigid materials with an edge radius of less than 3.2 mm (0.125 inch) 
that may be contacted by a probe in the form of a 165 mm (6.5 inch) 
diameter sphere. The probe shall be introduced to the handlebar 
mounting area. It shall not be possible to touch any part of any edge 
that has a radius of less than 3.2 mm (0.125 inch) with any part of the 
probe. A handlebar crossbar, if provided, shall be padded.
    (k) Operator foot environment. All youth ATVs shall have a 
structure or other design feature which meets the requirements of 
paragraphs (k)(1) through (4) of this section.
    (1) Test procedure. Compliance shall be determined by introduction 
of a probe, whose end is a rigid flat plane surface 75 mm (3 inches) in 
diameter, in the prescribed direction to the zones as described in 
paragraphs (k)(2) and (3) of this section and as shown in Figures 1 and 
2 of this part.
    (i) Inserting probe vertically and downward. The probe shall be 
introduced end-first in a vertical and downward direction to the zone 
described in paragraph (k)(2) of this section and shown by the shaded 
portion of Figure 1. The end of the probe in its entirety shall remain 
within the limits of the zone. It shall not penetrate the zone 
sufficiently to touch the ground when applied with a force of 445 N 
(100 lbf).
    (ii) Inserting probe horizontally and rearward. The probe shall be 
introduced end-first in a horizontal and rearward direction to the zone 
described in paragraph (k)(3) of this section and shown by the shaded 
portion of Figure 2. The end of the probe in its entirety shall remain 
within the limits of the zone. It shall not penetrate the zone 
sufficiently to touch the rear tire when applied with a force of 90 N 
(20 lbf).
    (2) Boundaries of zone in Figure 1 of this Part. The zone shown in 
Figure 1 of this part is defined as bounded by:
    (i) The vertical projection of the rear edge of the footrest.
    (ii) The vertical plane (line AA) parallel to the youth ATV's 
longitudinal plane of symmetry that passes through the inside edge of 
the footrest.
    (iii) The vertical projection of the intersection of a horizontal 
plane passing through the top surface of the footrest and the rear 
fender or other structure.
    (iv) The vertical plane passing through point D and tangent to the 
outer front surface of the rear tire.
    (A) For footpegs point D is defined as the intersection of the 
lateral projection of the rearmost point of the footpeg and the 
longitudinal projection of the outermost point of the footpeg.
    (B) For footboards point D is defined as the intersection of 2 
lines. The first is a line perpendicular to the vehicle longitudinal 
plane of symmetry and one-third of the distance from the front edge of 
the rear tire to the rear edge of the front tire. The second is a line 
parallel to the youth ATV's longitudinal plane of symmetry and one-half 
the distance between the inside edge of the footboard and the outside 
surface of the rear tire.
    (3) Boundaries of zone in Figure 2 of this Part. The zone shown in 
Figure 2 of this part is defined as bounded by:
    (i) The horizontal plane passing through the lowest surface of the 
footrest on which the operator's foot (boot) rests (plane F).
    (ii) The vertical plane (line AA) parallel to the ATV's 
longitudinal plane of symmetry that passes through the inside edge of 
the footrest.
    (iii) The horizontal plane 100 mm (4 inches) above plane F.
    (iv) The vertical plane (line BB) parallel to the ATV's 
longitudinal plane of symmetry and 50 mm (2 inches) inboard of the 
outer surface of the rear tire.
    (4) Requirements for ATVs with non-fixed structure. All youth ATVs 
equipped with a non-fixed type (for example, foldable, removable or 
retractable) structure intended to meet the requirements of this 
paragraph (k) shall be equipped with one or more of the following:
    (i) A warning device (for example, a buzzer or indicator) to 
indicate that the structure is not in the position needed to comply 
with the requirements of this paragraph (k).
    (ii) A device to prevent the ATV from being operated under its own 
power if the structure is not in the position needed to comply with the 
requirements of this paragraph (k).
    (iii) A structure that can be folded, retracted, or removed, such 
that when the structure is folded, retracted, or removed, the ATV 
cannot be operated using the footrest in the normal manner.
    (l) Lighting equipment--(1) Required equipment. All youth ATVs 
shall have at least one stop lamp. The stop lamp shall be illuminated 
by the actuation of any service brake control. Stop lamps shall conform 
to Surface Vehicle Standard, Stop Lamps for Use on Motor Vehicles Less 
than 2032 mm in Overall Width, SAE J586 MAR00 or Surface Vehicle 
Recommended Practice, Snowmobile Stop Lamp, SAE J278 MAY95.
    (2) Prohibitions on certain lighting. No youth ATV may be equipped 
with a projecting headlamp or forward-facing day-time running lights.
    (m) Spark arrester. All youth ATVs shall have a spark arrester of a 
type that is qualified according to the United States Department of 
Agriculture Forest Service Standard for Spark Arresters for Internal 
Combustion Engines, 5100-l c, September 1997 or Surface Vehicle 
Recommended Practice, Spark Arrester Test Procedure for Medium Size 
Engines, SAE J350 JAN91.
    (n) Tire marking. All youth ATV tires shall carry the following 
markings:
    (1) Inflation pressure. Both tire sidewalls shall be marked with 
the operating pressure or the following statement, or an equivalent 
message: ``SEE VEHICLE LABEL OR OWNER'S MANUAL FOR OPERATING 
PRESSURE.'' The messages required by this paragraph shall be in capital 
letters not less than 4 mm (0.156 inch) in height.
    (2) Bead seating pressure. Both tire sidewalls shall be marked with 
the following statement, or an equivalent message: ``Do Not Inflate 
Beyond **psi (**kPa) When Seating Bead.''
    (3) Other markings. Both tire sidewalls shall have the following 
information:
    (i) The manufacturer's name or brand name.
    (ii) On one tire sidewall, the three-digit week and year of 
manufacture in the form prescribed at 49 CFR 574.5(d), fourth grouping.
    (iii) The size nomenclature of the tire (for example, AT 22x10-9*) 
as

[[Page 45951]]

standardized by the Tire and Rim Association, Inc. or the Japan 
Automobile Tire Manufacturers Association, Inc.
    (iv) The word ``tubeless'' for a tubeless tire.
    (v) The phrase ``Not For Highway Use'' or ``Not For Highway 
Service.''
    (4) Letter sizes. The information required by paragraphs (n)(2) and 
(3) of this section shall be in letters or numerals no less than 2 mm 
(.078 inch) in height.
    (o) Tire pressure gauge. All youth ATVs shall be provided with a 
tire pressure gauge appropriate for the recommended operating tire 
pressure. All youth ATVs shall have a means of carrying the tire 
pressure gauge.
    (p) Security. All youth ATVs shall have a means to deter 
unauthorized use.
    (q) Vehicle Identification Number (VIN) or Product Identification 
Number (PIN). Each youth ATV shall have prominently displayed on the 
ATV a unique VIN assigned by its manufacturer in accordance with 49 CFR 
part 565 or a unique PIN in accordance with Recreation Off-Road Vehicle 
Product Identification Numbering System, SAE International Consortium 
Standard, ICS-1000, issued 2004-9. If the ATV has a VIN number, the 
characters in location 4 and 5 of the number shall be ``A'' and ``T'', 
respectively. The VIN or PIN label shall meet the durability 
requirements of Underwriters Laboratories Standard UL 969, fourth 
edition, October 3, 1995.
    (r) Speed limiting devices. All Pre-teen and Teen ATVs shall be 
equipped with a means of limiting throttle travel or other means of 
limiting the maximum speed attainable by the ATV to less than the ATV's 
maximum speed capability as determined using the test procedure of 
Sec.  1515.5. The speed limiting device may be adjustable or removable 
or both, but shall have a means to prevent adjustment or removal 
without the simultaneous use of at least two different tools.


Sec.  1515.5  Maximum speed capability test.

    (a) Test conditions. Test conditions shall be as follows:
    (1) ATV test weight shall be the unloaded ATV weight plus the 
vehicle load capacity (including test operator and instrumentation), 
with any added weight secured to the seat or cargo area(s) if so 
equipped.
    (2) Tires shall be inflated to the pressures recommended by the ATV 
manufacturer for the vehicle's test weight.
    (3) The test surface shall be clean, dry, smooth and level 
concrete, or equivalent.
    (b) Test procedure. Measure the maximum speed capability of the ATV 
using a radar gun or equivalent method. The test operator shall 
accelerate the ATV until maximum speed is reached, and shall maintain 
maximum speed for at least 30.5 m (100 ft). Speed measurement shall be 
made when the ATV has reached a stabilized maximum speed. A maximum 
speed test shall consist of a minimum of two measurement test runs 
conducted over the same track, one each in opposite directions. If more 
than two measurement runs are made there shall be an equal number of 
runs in each direction. The maximum speed capability of the ATV shall 
be the arithmetic average of the measurements made. A reasonable number 
of preliminary runs may be made prior to conducting a recorded test.


Sec.  1515.6  Maximum speed capability requirements.

    (a) Performance requirement for Junior ATV. When tested in 
accordance with the procedures of Sec.  1515.5 with any removable speed 
limiting device removed and with any adjustable speed limiting device 
adjusted to provide the ATV's maximum speed capability, the maximum 
speed capability of a Junior ATV shall not exceed 10 mph.
    (b) Performance requirements for Pre-teen youth ATV. (1) When 
tested in accordance with the procedures of Sec.  1515.5 with any 
removable speed limiting device removed and with any adjustable speed 
limiting device adjusted to provide the ATV's maximum speed capability, 
the maximum speed capability of a Pre-teen youth ATV shall not exceed 
15 mph.
    (2) When tested in accordance with the procedures of Sec.  1515.5 
with the speed limiting device required by Sec.  1515.4(r) adjusted 
accordingly, the Pre-teen youth ATV shall accelerate to a maximum speed 
that does not exceed 10 mph.
    (c) Performance requirements for Teen ATV. (1) When tested in 
accordance with the procedures of Sec.  1515.5 with any removable speed 
limiting device removed and with any adjustable speed limiting device 
adjusted to provide the ATV's maximum speed capability, the maximum 
speed capability of a Teen ATV shall not exceed 30 mph.
    (2) When tested in accordance with the procedures of Sec.  1515.5 
with the speed limiting device required by Sec.  1515.4(r) adjusted 
accordingly, Teen ATV shall accelerate to a maximum speed that does not 
exceed 15 mph.
    (d) Maximum speed requirements on delivery to consumer. (1) Each 
Pre-teen ATV shall be delivered to the purchaser with the speed 
limiting device required by Sec.  1515.4(r) adjusted so that the 
maximum speed of the ATV does not exceed 10 mph when tested in 
accordance with Sec.  1515.5.
    (2) Each Teen ATV shall be delivered to the purchaser with the 
speed limiting device required by Sec.  1515.4(r) adjusted so that the 
maximum speed of the ATV does not exceed 15 mph when tested in 
accordance with Sec.  1515.5.


Sec.  1515.7  Service brake performance test.

    (a) Test conditions. Test conditions shall be as follows.
    (1) The ATV test weight shall be the unloaded vehicle weight plus 
the vehicle load capacity (including test operator and instrumentation) 
with any added weight secured to the seat or cargo area(s), if 
equipped.
    (2) Tires shall be inflated to the pressures recommended by the ATV 
manufacturer for the vehicle test weight.
    (3) Engine idle speed and ignition timing shall be set according to 
the manufacturer's recommendations.
    (4) Ambient temperature shall be between 0 [deg]C (32 [deg]F) and 
38 [deg]C (100 [deg]F).
    (5) The test surface shall be clean, dry, smooth and level 
concrete, or equivalent.
    (6) Any removable speed limiting devices shall be removed and any 
adjustable speed limiting devices shall be adjusted to provide the 
ATV's maximum speed capability.
    (b) Test procedure. The test procedure shall be as follows:
    (1) Measure the maximum speed capability of the ATV in accordance 
with Sec.  1515.5. Determine the braking test speed (V). The braking 
test speed is the speed that is the multiple of 8 km/h (5 mph), which 
is 6 km/h (4 mph) to 13 km/h (8 mph) less than the maximum speed 
capability of the ATV.
    (2) Burnish the front and rear brakes by making 200 stops from the 
braking test speed. Stops shall be made by applying front and rear 
service brakes simultaneously, and braking decelerations shall be from 
1.96 m/s<SUP>2</SUP> to 4.90 m/s<SUP>2</SUP> (0.2 g to 0.5 g).
    (3) After burnishing, adjust the brakes according to the 
manufacturer's recommendation.
    (4) Make six stops from the braking test speed. Stops shall be made 
by applying the front and rear service brakes simultaneously, and 
braking decelerations shall be from 1.96 m/s<SUP>2</SUP> to 4.90 m/
s<SUP>2</SUP> (0.2 g to 0.5 g).
    (5) Make four stops from the braking test speed, applying the front 
and rear service brakes. Measure the speed immediately before the 
service brakes are applied. Appropriate markers or

[[Page 45952]]

instrumentation shall be used which will accurately indicate the point 
of brake application. Measure the stopping distance (S).
    (i) Hand lever brake actuation force shall be not less than 22 N (5 
lbf) and not more than 133 N (30 lbf) and foot pedal brake actuation 
force shall be not less than 44 N (10 lbf) and not more than 222 N (50 
lbf).
    (ii) The point of initial application of lever force shall be 25 mm 
(1.0 in.) from the end of the brake lever. The direction of lever force 
application shall be perpendicular to the handle grip in the plane in 
which the brake lever rotates. The point of application of pedal force 
shall be the center of the foot contact pad of the brake pedal, and the 
direction of force application shall be perpendicular to the foot 
contact pad and in the plane in which the brake pedal rotates.
    (c) Performance requirements--(1) Junior and Pre-teen ATVs. For 
each Junior and each Pre-teen ATV, at least one of the four stops 
required by paragraph (b)(5) of this section shall comply with the 
relationship:

S <= V/5.28

Where:

S = brake stopping distance (m)
V = braking test speed (km/h)

S <= V

Where:
S = brake stopping distance (ft)
V = braking test speed (mph)

    (2) Teen ATVs. For each Teen ATV, at least one of the four stops 
required by paragraph (b)(5) of this section shall have an average 
braking deceleration of 5.88 m/s<SUP>2</SUP> (0.6 g) or greater. 
Average braking deceleration can be determined according to the 
following formulae \1\:

    \1\ Direct on-board instrumentation may be used to acquire any 
measurement data.
---------------------------------------------------------------------------

a = V\2\/25.92S

Where:

a = average deceleration (m/s\2\)
S = brake stopping distance (m)
V = braking test speed (km/h)

a = [(.033) x V<SUP>2</SUP>]/S

Where:

a = average deceleration (g)
S = brake stopping distance (ft)
V = braking test speed (mph)

Sec.  1515.8  Parking brake performance test.

    (a) Test conditions. Test conditions shall be as follows:
    (1) ATV test weight shall be the unloaded ATV weight plus weight 
secured to the seat or cargo area(s) (if equipped), which is equal to 
the manufacturer's stated vehicle load capacity.
    (2) Tires shall be inflated to the pressures recommended by the ATV 
manufacturer for the vehicle test weight.
    (3) The test surface shall be clean, dry, smooth concrete or 
equivalent, having a 30 percent grade.
    (b) Test procedure. The test procedure shall be as follows:
    (1) Burnish the service brakes according to the procedure specified 
in Sec.  1515.7(b)(2) if service brakes are used as part of the parking 
brake.
    (2) Adjust the parking brake according to the procedure recommended 
by the ATV manufacturer.
    (3) Position the ATV facing downhill on the test surface, with the 
longitudinal axis of the ATV in the direction of the grade. Apply the 
parking brake and place the transmission in neutral. Leave the ATV 
undisturbed for 5 minutes. Repeat the test with the ATV positioned 
facing uphill on the test surface.
    (c) Performance requirements. When tested according to the 
procedure specified in paragraph (b) of this section, the parking brake 
shall be capable of holding the ATV stationary on the test surface, to 
the limit of traction of the tires on the braked wheels, for 5 minutes 
in both uphill and downhill directions.


Sec.  1515.9  Pitch stability requirements.

    (a) Test conditions. Test conditions shall be as follows:
    (1) The ATV shall be in standard condition, without accessories. 
The ATV and components shall be assembled and adjusted according to the 
manufacturer's instructions and specifications.
    (2) Tires shall be inflated to the ATV manufacturer's recommended 
settings for normal operation. If more than one pressure is specified, 
the highest value shall be used.
    (3) All fluids shall be full (oil, coolant, and the like), except 
that fuel shall be not less than three-fourths full. ATV shall be 
unladen, with no rider, cargo, or accessories.
    (4) Steerable wheels shall be held in the straight ahead position.
    (5) Adjustable suspension components shall be set to the values 
specified at the point of delivery to the dealer.
    (6) Suspension components shall be fixed by means of a locking 
procedure such that they remain in the same position and displacement 
as when the unladen ATV is on level ground, and in the conditions 
specified in paragraphs (a)(1) through (5) of this section.
    (b) Test procedure. The test procedure shall be as follows:
    (1) Calculations based on vehicle metrics:
    (i) Measure and record the wheelbase (L). The measurement of this 
length shall be done with an accuracy of <plus-minus>5 mm (<plus-
minus>0.2 inch) or <plus-minus>0.5%, whichever is greater.
    (ii) Measure and record the front and rear weights, (W<INF>f</INF> 
and W<INF>r</INF>, respectively). W<INF>f</INF> is the sum of the front 
tire loads; and W<INF>r</INF> is the sum of the rear tire loads with 
the ATV level and in the condition specified in paragraph (a) of this 
section. The measurements of these weights shall be done with an 
accuracy of <plus-minus> 0.5 kg (<plus-minus> 1.1 lb) or <plus-minus> 
0.5%, whichever is greater.
    (iii) Using the values obtained in paragraphs (b)(1)(i) and (ii) of 
this section, compute and record the quantity as follows: L<INF>1</INF> 
= ((W<INF>f</INF>/( W<INF>f</INF> + W<INF>r</INF>)) x L.
    (iv) Measure and record the vertical height between the rear axle 
center and the ground (R<INF>r</INF>). This measurement shall be done 
on level ground, with the ATV in the conditions specified in subsection 
(a) of this section, with an accuracy of <plus-minus> 3 mm (<plus-
minus> 0.1 inch) or <plus-minus> 1.5%, whichever is greater.
    (v) Measure and record the balancing angle alpha. The procedure for 
obtaining this value is as follows: with the ATV on a level surface, 
the front of the vehicle shall be rotated upward about the rear axle 
without setting the rear parking brake or using stops of any kind, 
until the ATV is balanced on the rear tires. The balancing angle alpha 
through which the ATV is rotated shall be measured and recorded with an 
accuracy of <plus-minus> 0.5 degrees. If an assembly protruding from 
the rear of the ATV, such as a carry bar or trailer hitch or hook, 
interferes with the ground surface, so as to not allow a balance to be 
reached, the vehicle shall be placed on blocks of sufficient height to 
eliminate the interference.
    (vi) Repeat the measurement in paragraph (b)(1)(v) of this section 
and determine if the two individual measurements are within 1.0 degree 
of each other. If they are not, repeat the measurements two more times 
and compute the average of the four individual measurements, and use 
that as the value.
    (2) Tilt table procedure. The ATV shall be placed on a variable 
slope single-plane tilt table. The steerable wheels shall be straight 
forward. The ATV shall be positioned on the tilt table with its 
longitudinal center line perpendicular to the tilt axis of the table 
and its rear positioned downhill. The table shall be tilted until lift-
off of the upper wheel(s) occurs. Measure the angle at which lift-off 
of the upper wheel(s) occurs. Lift-off shall have occurred when a strip 
of 20-gauge steel

[[Page 45953]]

[approximately 1 mm (.039 inch) thick], 76 mm (3 inch) minimum width, 
can be pulled from or moved under the second uphill tire to lift with a 
force of 9 N (2 lb) or less.
    (c) Performance requirements. (1) Computation from vehicle metrics. 
Using the values obtained in paragraphs (b)(1)(iii), (b)(1)(iv), and 
(b)(1)(vi) of this section, compute the pitch stability coefficient as 
follows: K<INF>p</INF> = (L<INF>1</INF> tan alpha)/(L<INF>1</INF> + 
R<INF>r</INF> tan alpha).
    (2) Computation from tilt table. The pitch stability coefficient 
K<INF>p</INF> is the tangent of the tilt table angle.
    (3) Requirement. The pitch stability coefficient K<INF>p</INF> 
calculated according to paragraph (c)(1) or (c)(2) of this section 
shall be at least 1.0.

Subpart C--Requirements for Labeling, Point of Sale Information and 
Instruction


Sec.  1515.10  Labeling requirements.

    (a) General warning label. (1) Each youth ATV shall have affixed to 
it a general warning label in English that meets the requirements of 
this section.
    (2) Content. The general warning label shall display the safety 
alert symbol and the word ``WARNING'' in capital letters. The label 
shall contain the following, or substantially equivalent, statements. 
They may be arranged on the label to place the prohibited actions 
together and the required actions together.
    ``THIS VEHICLE CAN BE HAZARDOUS TO OPERATE. A collision or 
rollover can occur quickly, even during routine maneuvers such as 
turning and driving on hills or over obstacles, if you fail to take 
proper precautions.''
    ``SEVERE INJURY OR DEATH can result if you do not follow these 
instructions:''
    ``BEFORE YOU OPERATE THIS ATV, READ THE OWNER'S MANUAL AND ALL 
LABELS.''
    ``NEVER OPERATE THIS ATV WITHOUT PROPER INSTRUCTION. Beginners 
should complete a training course.''
    ``NEVER CARRY A PASSENGER. You increase your risk of losing 
control if you carry a passenger.''
    ``NEVER OPERATE THIS ATV ON PAVED SURFACES. You increase your 
risk of losing control if you operate this ATV on pavement.
    ``NEVER OPERATE THIS ATV ON PUBLIC ROADS. You can collide with 
another vehicle if you operate this ATV on a public road.''
    ``ALWAYS WEAR AN APPROVED MOTORCYCLE HELMET, eye protection, and 
protective clothing.''
    ``NEVER CONSUME ALCOHOL OR DRUGS before or while operating this 
ATV.''
    ``NEVER OPERATE THIS ATV AT EXCESSIVE SPEEDS. You increase your 
risk of losing control if you operate this ATV at speeds too fast 
for the terrain, visibility conditions, or your experience.''
    ``NEVER ATTEMPT WHEELIES, JUMPS, OR OTHER STUNTS.''

    (3) Format. The color scheme, typeface and formatting of the label 
shall be consistent with ANSI Z535.4 (American National Standard for 
Product Safety Signs and Labels) (2002).
    (4) Location. This label shall be affixed to the left front fender 
so it is easily visible in its entirety to the operator when seated on 
the vehicle in the proper operating position. If this location is not 
available for a particular ATV, the label shall be affixed to the right 
front fender so as to be easily read by the operator when seated on the 
ATV in the proper operating position.
    (b) Age recommendation warning label. (1) Each youth ATV shall have 
affixed an age recommendation warning label in English that meets the 
requirements of this section.
    (2) Content. (i) Label for Junior ATV. The age recommendation 
warning label for a Junior ATV shall display the safety alert symbol 
and the word ``WARNING'' in capital letters. The label shall contain a 
circle with a slash through it and the wording ``UNDER 6'' inside the 
circle. Below the circle, the label shall contain the following, or 
substantially equivalent, statements:

    ``Operation of this ATV by children under the age of 6 increases 
the risk of severe injury or death.
    Adult supervision required for children under age 16.
    NEVER let children under age 6 operate this ATV.''

    (ii) Label for Pre-teen ATV. The age recommendation warning label 
for a Pre-teen ATV shall display the safety alert symbol and the word 
``WARNING'' in capital letters. The label shall contain a circle with a 
slash through it and the wording ``UNDER 9'' inside the circle. Below 
the circle, the label shall contain the following, or substantially 
equivalent, statements:

    ``Operation of this ATV by children under the age of 9 increases 
the risk of severe injury or death.
    Adult supervision required for children under age 16.
    NEVER let children under age 9 operate this ATV.''
    (iii) Label for Teen ATV. The label age recommendation warning 
label for a Teen ATV shall display the safety alert symbol and the 
word ``WARNING'' in capital letters. The label shall contain a 
circle with a slash through it and the wording ``UNDER 12'' inside 
the circle. Below the circle, the label shall contain the following, 
or substantially equivalent, statements:

    ``Operation of this ATV by children under the age of 12 
increases the risk of severe injury or death.
    Adult supervision required for children under age 16.
    NEVER let children under age 12 operate this ATV.''

    (3) Format. The color scheme, typeface and formatting of the age 
recommendation label shall be consistent with ANSI Z535.4 (2002).
    (4) Location. This label shall be affixed to the fuel tank so it is 
visible in its entirety to the operator when seated on the vehicle in 
the proper operating position. If this location is not available for a 
particular ATV, or, if affixed at this location the label will not meet 
the durability requirement of paragraph (f) of this section, the label 
shall be placed on the front fender above the label required by 
paragraph (a) of this section so that it is visible in its entirety to 
the operator. If this location is not available for a particular ATV, 
the label shall be placed on the vehicle body immediately forward of 
the seat so it is visible in its entirety to the operator when seated 
on the vehicle in the proper operating position.
    (c) Passenger warning label. (1) Each youth ATV shall have affixed 
a passenger warning label in English that meets the requirements of 
this section.
    (2) Content. The passenger warning label shall display the safety 
alert symbol and the word ``WARNING'' in capital letters. The label 
shall contain the following, or substantially equivalent, statements:

    ``Passengers can affect ATV balance and steering. The resulting 
loss of control can cause SEVERE INJURY or DEATH.
    NEVER ride as a passenger.''

    (3) Format. The color scheme, typeface and formatting of the label 
shall be consistent with ANSI Z535.4 (2002).
    (4) Location. This label shall be affixed either to a flat surface 
of the vehicle body located to the rear of the seat and toward the 
center of the vehicle, or to the rear portion of the vehicle seat 
itself. If neither of these locations is available for a particular 
vehicle, the label shall be affixed to the left rear fender or the left 
side of the body so as to be easily seen by a potential passenger.
    (d) Tire pressure and overload warning label(s). (1) Each youth ATV 
shall have affixed a label or labels in English that meet the 
requirements of this section warning against improper air pressure in 
the ATV's tires and against overloading. Manufacturers may affix one 
warning label addressing both hazards.
    (2) Content. The label(s) shall contain the safety alert symbol and 
the signal word ``WARNING'' in capital letters. Every label warning 
about improper tire pressure shall contain a statement indicating the 
recommended tire pressure, either on the label or by

[[Page 45954]]

reference to the owner's manual and/or the tires. Every label warning 
against overloading shall contain a statement indicating the maximum 
weight capacity for the ATV model.
    (i) If a manufacturer uses separate tire pressure and overloading 
labels, the label to warn of tire pressure shall contain the following, 
or substantially equivalent, statements:

    --``Improper tire pressure can cause loss of control. Loss of 
control can result in severe injury or death.''

    (ii) If a manufacturer uses separate tire pressure and overloading 
labels, the label to warn of overloading hazards shall contain the 
following, or substantially equivalent, statements:

    --``Overloading can cause loss of control. Loss of control can 
result in severe injury or death.''

    (iii) If a manufacturer uses one label for both tire pressure and 
overloading warnings, the label shall contain the following, or 
substantially equivalent, statements:

    ``Improper tire pressure or overloading can cause loss of 
control. Loss of control can result in severe injury or death.''

    (3) Format. The color scheme, typeface and formatting of the label 
shall be consistent with ANSI Z535.4 (2002).
    (4) Location. The label(s) shall be affixed to the left rear fender 
above the axle, facing outward in such a position that it (they) can be 
read by the operator when mounting the vehicle.
    (e) Label durability requirements. Each label required or permitted 
by this section shall meet the standards for durability of Underwriters 
Laboratories Standard UL 969, fourth edition, October 3, 1995.
    (f) Discretionary labels. Labels in addition to those specified in 
paragraphs (a) through (d) of this section may be affixed to the 
vehicle provided that:
    (1) The discretionary labels are consistent with ANSI Z535.4 
(2002); and
    (2) Discretionary labels shall be affixed to ATVs in an appropriate 
location that does not detract from the mandatory labels required in 
paragraphs (a) through (d) of this section.


Sec.  1515.11  Hangtag requirements.

    (a) Each youth ATV shall be equipped at the point of sale with a 
hang tag that, at a minimum, contains in English:
    (1) The contents of the general warning label described in Sec.  
1515.10(a);
    (2) The statement--``Even though a child is of the recommended age 
to operate a particular size ATV, not all children have the strength, 
skills, or judgment needed to operate an ATV safely, and parents 
should, therefore, supervise their child's operation of the ATV at all 
times''--;
    (3) The statement--``This hang tag is not to be removed before 
sale''--; and
    (4) The statement--``Check with your dealer to find out about state 
or local laws regarding ATV operation.''
    (b) Each hang tag shall be attached to the ATV in such a manner as 
to be conspicuous and removable only with deliberate effort.
    (c) Each hang tag shall be at least 4 by 6 inches.


1515.12  Age acknowledgment.

    (a) General. The retailer shall provide the purchaser of each youth 
ATV with an age acknowledgment in the form shown in figure 3.
    (b) Signature. Prior to the sales transaction, the retailer shall 
require that the purchaser of the ATV sign the age acknowledgment 
representing that the purchaser has read and understood the age 
acknowledgment.
    (c) Copies/retention. The retailer shall provide the purchaser of 
the ATV and the manufacturer of the ATV with a copy of the signed age 
acknowledgment. The retailer shall retain the signed original of the 
age acknowledgment for a minimum of five (5) years after the date of 
the purchase of the ATV to which it pertains. The manufacturer shall 
retain the copy of the age acknowledgment for a minimum of five (5) 
years after the date of the purchase of the ATV to which it pertains.


1515.13  Instructional/owner's manual.

    (a) General. (1) All youth ATVs shall be delivered to the purchaser 
with an instructional/owner's manual that meets the requirements of 
this section. All youth ATVs shall be equipped with a means of carrying 
the manual that protects it from destructive elements while allowing 
reasonable access.
    (2) Each manual shall be in English and shall be written and 
designed in a manner reasonably calculated to convey information 
regarding safe operation and maintenance of the vehicle by persons who 
read such manual.
    (3) Each manual shall be written in plain, simple language so as to 
be readily comprehended by the average seventh grader, as measured by a 
standard technique for assessing the readability of written materials.
    (4) Information in each manual shall be presented in a meaningful 
sequence designed to permit readers to understand the information 
presented and appreciate its significance.
    (5) Each manual shall be consistent with other safety messages 
required by this part, including those contained in warning labels, 
hang tags, and the safety video.
    (6) Each manufacturer shall retain a copy of the manual for each 
model until five years after the model has ceased to be in production. 
The manufacturer shall make the manual available to CPSC upon request.
    (b) Contents. Each manual shall contain--
    (1) A statement on the outside front cover that, at a minimum, 
alerts the reader that the manual contains important safety information 
which should be read carefully.
    (2) A statement on the outside front cover stating the age 
recommendation for the particular ATV model in question.
    (3) Definitions for ``warning'' and ``caution'' that are consistent 
with, or in any event not weaker than, the definitions for those terms 
contained in American National Standards Institute (ANSI) standard 
Z535-2002 along with an introductory statement alerting the reader to 
the significance of the safety alert symbol and the signal words.
    (4) A reminder that the safety alert symbol with the word 
``WARNING'' indicates a potential hazard that could result in serious 
injury or death. This reminder shall be repeated immediately preceding 
the table of contents, at the beginning and end of the section 
describing proper operating procedures, on the last page before the 
outside back cover (or on the inside back cover), and a total of at 
least five (5) more times, appropriately spaced, within sections 
containing warnings.
    (5) An introductory safety message emphasizing the importance of 
reading and understanding the manual prior to operation of the ATV, the 
importance of and availability of the instructional training required 
by Sec.  1515.15, and the importance of the age recommendation for the 
particular model. This introductory message shall contain, at a 
minimum, the following statement:

    Failure to follow the warnings contained in this manual can 
result in SERIOUS INJURY or DEATH

    (6) An introductory notice to parents emphasizing that an ATV is 
not a ``toy,'' the importance of children completing the instructional 
training required by Sec.  1515.15 of this part, and the importance of 
children understanding and following the instructions and warnings 
contained in the manual. This introductory statement shall also 
contain, at a minimum, the following statement:

    Children differ in skills, physical abilities, and judgment. 
Some children may not be

[[Page 45955]]

able to operate an ATV safely. Parents should supervise their 
children's use of the ATV at all times.

    (7) An introductory safety section which, at a minimum, contains 
the following safety messages in the form shown:

    AN ATV IS NOT A TOY AND CAN BE HAZARDOUS TO OPERATE. An ATV 
handles differently from other vehicles including motorcycles and 
cars. A collision or rollover can occur quickly, even during routine 
maneuvers such as turning and driving on hills or over obstacles, if 
you fail to take proper precautions.
    SEVERE INJURY OR DEATH can result if you do not follow these 
instructions:
    1. Read this manual and all labels carefully and follow the 
operating procedures described.
    2. Never operate an ATV without proper instruction. Take a 
training course. Contact an authorized ATV dealer to find out about 
the training courses near you.
    3. Always follow the age recommendations for this ATV.
    4. Never allow a child under 16 to operate an ATV without adult 
supervision, and never allow continued use of an ATV by a child if 
he or she does not have the abilities to operate it safely.
    5. Never carry a passenger on an ATV, unless it is a two-person 
ATV.
    6. Never operate an ATV on any paved surfaces, including 
sidewalks, driveways, parking lots and streets.
    7. Never operate an ATV on any public street, road or highway, 
even a dirt or gravel one.
    8. Never operate an ATV without wearing an approved helmet that 
fits properly. You should also wear eye protection (goggles or face 
shield), gloves, boots, long-sleeved shirt or jacket, and long 
pants.
    9. Never consume alcohol or drugs before or while operating an 
ATV.
    10. Never operate at excessive speeds. Always go at a speed that 
is proper for the terrain, visibility and operating conditions, and 
your experience.
    11. Never attempt wheelies, jumps, or other stunts.
    12. Always inspect your ATV each time you use it to make sure it 
is in safe operating condition. Always follow the inspection and 
maintenance procedures and schedules described in this manual.
    13. Always keep both hands on the handlebars and both feet on 
the footpegs of the ATV during operation.
    14. Always go slowly and be extra careful when operating on 
unfamiliar terrain. Always be alert to changing terrain conditions 
when operating the ATV.
    15. Never operate on excessively rough, slippery or loose 
terrain until you have learned and practiced the skills necessary to 
control the ATV on such terrain. Always be especially cautious on 
these kinds of terrain.
    16. Always follow proper procedures for turning as described in 
this manual. Practice turning at low speeds before attempting to 
turn at faster speeds. Do not turn at excessive speed.
    17. Never operate the ATV on hills too steep for the ATV or for 
your abilities. Practice on smaller hills before attempting larger 
hills.
    18. Always follow proper procedures for climbing hills as 
described in this manual. Check the terrain carefully before you 
start up any hill. Never climb hills with excessively slippery or 
loose surfaces. Shift your weight forward. Never open the throttle 
suddenly or make sudden gear changes. Never go over the top of any 
hill at high speed.
    19. Always follow proper procedures for going down hills and for 
braking on hills as described in this manual. Check the terrain 
carefully before you start down any hill. Shift your weight 
backward. Never go down a hill at high speed. Avoid going down a 
hill at an angle that would cause the vehicle to lean sharply to one 
side. Go straight down the hill where possible.
    20. Always follow proper procedures for crossing the side of a 
hill as described in this manual. Avoid hills with excessively 
slippery or loose surfaces. Shift your weight to the uphill side of 
the ATV. Never attempt to turn the ATV around on any hill until you 
have mastered the turning technique described in this manual on 
level ground. Avoid crossing the side of a steep hill if possible.
    21. Always use proper procedures if you stall or roll backwards 
when climbing a hill. To avoid stalling, use proper gear and 
maintain a steady speed when climbing a hill. If you stall or roll 
backwards, follow the special procedure for braking described in 
this manual. Dismount on the uphill side or to a side if pointed 
straight uphill. Turn the ATV around and remount, following the 
procedure described in this manual.
    22. Always check for obstacles before operating in a new area. 
Never attempt to operate over large obstacles, such as large rocks 
or fallen trees. Always follow proper procedures when operating over 
obstacles as described in this manual.
    23. Always be careful when skidding or sliding. Learn to safely 
control skidding or sliding by practicing at low speeds and on 
level, smooth terrain. On extremely slippery surfaces, such as ice, 
go slowly and be very cautious in order to reduce the chance of 
skidding or sliding out of control.
    24. Never operate an ATV in fast flowing water or in water 
deeper than that specified in this manual. Remember that wet brakes 
may have reduced stopping ability. Test your brakes after leaving 
water. If necessary, apply them several times to let friction dry 
the linings.
    25. Always be sure there are no obstacles or people behind you 
when you operate in reverse. When it is safe to proceed in reverse, 
go slowly.
    26. Always use the size and type tires specified in this manual. 
Always maintain proper tire pressure as described in this manual.
    27. Never modify an ATV through improper installation or use of 
accessories.
    28. Never exceed the stated load capacity for an ATV. Cargo 
should be properly distributed and securely attached. Reduce speed 
and follow instructions in the manual for carrying cargo or pulling 
a trailer. Allow greater distance for braking.
    FOR MORE INFORMATION ABOUT ATV SAFETY, visit the CPSC website at 
www.cpsc.gov or call the Consumer Product Safety Commission at 1-
800-638-2772, or [insert contact number for manufacturer].''

    (8) An appropriate table of contents identifying the major portions 
of the manual.
    (9) Descriptions of the location of warning labels on the ATV and 
an introductory statement emphasizing the importance of understanding 
and following the labels and the importance of keeping the labels on 
the ATV. The introductory statement shall also contain instructions on 
how to obtain a replacement label in the event any label becomes 
difficult to read. These instructions shall include a toll-free 
telephone number that can be called to obtain a replacement label.
    (10) A toll-free telephone number, or other no cost means, for the 
owner of the ATV to contact the manufacturer to report safety issues 
and/or seek information on the proper, safe operation of the ATV.
    (11) A description of pre-operating inspection procedures and a 
statement emphasizing the importance of these procedures.
    (12) A description of proper operating procedures and of potential 
hazards associated with improper operation of the ATV. The section of 
each manual devoted to describing proper operating procedures shall 
include material addressing in narrative text form and in appropriate 
detail all of the topics addressed in paragraph (b)(7) of this section. 
Such narrative text shall identify particular potential hazards 
associated with the types of operation or behavior in question, the 
possible consequences of such operation or behavior, and shall describe 
the manner in which the vehicle should be properly operated to avoid or 
reduce the risk associated with such hazards. Such narrative text shall 
include warning statements and corresponding illustrations in 
conformance with the requirements of this section. The language of the 
narrative sections accompanying each warning shall not contradict any 
information contained in the warning section and shall be written to 
draw attention to the warning.
    (13) Descriptions of proper maintenance, storage, and 
transportation procedures.
    (14) On the outside back cover, the contents of the general warning 
label required by Sec.  1515.10(a).


Sec.  1515.14  Safety video.

    (a) General. The retailer shall provide the purchaser with a safety 
video at or before the completion of the purchase

[[Page 45956]]

transaction. The safety video shall be designed to communicate to an 
audience consisting of prospective purchasers and users, including 
children between the ages of 9 and 16, and their parents.
    (b) Title. The title of the safety video shall indicate that the 
video provides safety information concerning ATV operation.
    (c) Content. The safety video shall communicate the following:
    (1) The contents of the hang tag described in Sec.  1515.11;
    (2) The concept that a person operating an ATV should know his or 
her limitations and not attempt to perform any maneuver or traverse any 
terrain if performing the maneuver or operating on the terrain is 
beyond that person's capabilities and experience;
    (3) The importance of practicing and gradually progressing from 
basic to more complex maneuvers; and
    (4) The importance of keeping alert at all times and the concept 
that even a brief distraction can lead to loss of control resulting in 
a severe or fatal accident.
    (5) ATV-related death and injury statistics both for all riders and 
for children under the age of 16. The video may use rolling five-year 
averages, and the statistics only need to be up-dated if there is a 
statistically significant change in either the death or injury 
statistics. Such change shall be noted in the subsequent video.
    (d) Dramatization. All dramatizations designed to communicate any 
of the concepts set forth in the preceding subsection shall be 
unambiguous. To avoid ambiguity and ensure clarity, dramatizations 
shall:
    (1) In the case of dramatizations that show an accident occurring, 
averted, or about to occur, the video shall contain no intervening 
events that detract from communication of the hazard (for example, the 
presence of an obstacle on a paved surface when communicating the 
hazard of operating on a paved surface, or a person running in front of 
an ATV when communicating the hazard of carrying passengers on a youth 
ATV or a single rider adult ATV); and
    (2) in the case of dramatizations that show either the conduct, 
terrain, or maneuvers that a person should avoid, or the conduct that a 
person should observe, the video shall also unequivocally state the 
relevant safety message, either verbally by means of lines spoken by a 
screen character or narrator, in written form, or both.
    (e) Format. The safety video shall be made available in at least 
one commonly used format, e.g., VHS or DVD, and the purchaser shall be 
given the option at no cost of procuring the safety video in at least 
one format other than the one originally supplied with the ATV at the 
time of purchase.
    (f) Retention. The manufacturer shall retain a copy of the safety 
video until five years after the model to which applies ceases to be in 
production. The manufacturer shall make the video available to CPSC 
upon request.


1515.15  Instructional training.

    (a) General. The manufacturer shall provide to the purchaser at no 
charge a training course for the purchaser and each member of the 
purchaser's immediate family who meets or exceeds the minimum age 
recommendation for the ATV in question. The training course shall be 
provided in the form of one certificate valid for the purchaser and 
each qualifying member of the purchaser's immediate family redeemable 
at no cost for attendance at a training course meeting the requirements 
of this section.
    (b) Form of certificate. Each certificate shall identify the VIN or 
PIN number and category of ATV (i.e. Junior, Pre-teen, or Teen) to 
which it pertains and shall have no expiration date. In addition the 
certificate shall include a toll-free telephone number or other readily 
useable means for the purchaser to contact the training organization to 
arrange for training.
    (c) Retailer responsibility. The retailer shall provide the 
certificate to the purchaser at the time of purchase and shall obtain 
the purchaser's signature on the training availability form shown in 
Figure 4 of this part. The retailer shall retain the signed original of 
the training availability form and shall provide the purchaser and the 
manufacturer of the ATV with a copy.
    (d) Course content. The training curriculum shall, at a minimum, 
address the following:
    (1) The risks of ATV-related deaths and injuries (risk awareness).
    (2) The role of safety equipment, including identifying suitable 
equipment, properly using equipment, and understanding why it is used.
    (3) Rider responsibilities, including:
    (i) Why children/youths should not ride adult ATVs;
    (ii) Why all ATV users should take a hands-on safety training 
course;
    (iii) Why one should never ride a youth ATV or non-tandem adult ATV 
with a passenger or as a passenger;
    (iv) Why one should never drive an ATV on paved roads;
    (v) Why one should always wear a helmet and other protective gear 
while on an ATV; and
    (vi) Why one should never drive an ATV while under the influence of 
alcohol or drugs.
    (4) Identifying displays and controls;
    (5) Recognizing limitations, including inclines and rider 
abilities;
    (6) Evaluating a variety of situations to predict proper course of 
action, including terrain obstacles and behavior of other riders;
    (7) Demonstrating successful learning of riding skills, including:
    (i) Starting and stopping;
    (ii) negotiating turns, including gradual, sharp, and quick turns, 
weaving, and evasive maneuvers;
    (iii) Stopping in a turn;
    (iv) Emergency braking while straight and while turning.
    (v) Negotiating full track and partial track obstacles.
    (vi) Negotiating hills, including ascending, descending, 
traversing, and emergency situations; and
    (vii) Combining skills together in a non-predictable manner (i.e. 
trail ride or free riding period with instructor supervision and 
critique).
    (e) Course structure. The course shall include classroom, field, 
and trail activities.
    (f) Course duration. The course duration shall be sufficient to 
cover the topics noted in this section and allow for each student to 
individually master the riding skills addressed in the course at the 
level commensurate with the terrain at the location of the course, and 
allow for written and riding skills tests.
    (g) Course accessibility. The course shall be provided within a 
reasonable time from the date of purchase of the ATV and a reasonable 
distance from the place of purchase of the ATV.

Subpart D--Certification/Testing/Recordkeeping


Sec.  1515.16  Certification.

    (a) At the location of the VIN or PIN number, the following 
statement shall be made: ``The manufacturer certifies that this ATV 
complies with all applicable requirements of 16 CFR part 1515.''
    (b) The VIN or PIN number and compliance statement shall meet the 
durability requirements of Underwriters Laboratories Standard UL 969, 
fourth edition, October 3, 1995.


Sec.  1515.17  Testing.

    Each manufacturer of ATVs subject to this part shall perform or 
cause to be performed testing sufficient to demonstrate on an 
objectively reasonable basis that each ATV produced by that 
manufacturer meets the performance requirements of Sec. Sec.  1515.4 
through 1515.9.

[[Page 45957]]

Sec.  1515.18  Recordkeeping.

    (a) Manufacturer requirements. Each manufacturer (the importer is 
considered a manufacturer for purposes of this part) of ATVs subject to 
this part shall:
    (1) Maintain records in English sufficient to demonstrate that each 
ATV produced by that manufacturer complies with the requirements of 
this part;
    (2) Unless otherwise specified, retain records required by this 
part for a period of at least five (5) years after production of the 
model of ATV to which the records pertain ceases;
    (3) Maintain records required by this part at a location in the 
United States; and
    (4) Make records required by this part available for inspection at 
the request of a duly authorized representative of the U.S. Consumer 
Product Safety Commission.
    (b) Retailer requirements. Each retailer of ATVs subject to this 
part shall:
    (1) Maintain the original of each age acknowledgment required by 
Sec.  1515.12 and each acknowledgment of training availability required 
by Sec.  1515.15 for a period of at least five (5) years after the date 
of purchase of the ATV to which the acknowledgments pertain;
    (2) Maintain records required by this section at a location in the 
United States; and
    (3) Make records required by this section available for inspection 
at the request of a properly authorized representative of the U.S. 
Consumer Product Safety Commission.

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    Dated: August 1, 2006.
Todd Stevenson,
Secretary, Consumer Product Safety Commission.

[Note: The following appendix will not appear in the Code of Federal 
Regulations]

List of Relevant Documents

    1. Briefing memorandum from Elizabeth Leland, Project Manager, 
Directorate for Economic Analysis, to the Commission, ``All-Terrain 
Vehicles: CPSC Staff Proposals for Consideration'' May 31, 2006.
    2. Memorandum from Elizabeth W. Leland, Economic Analysis, CPSC, 
to Jacqueline Elder, Assistant Executive Director for Hazard 
Identification and Reduction, ``October 14, 2005, All-Terrain 
Vehicle (ATV) Advance Notice of Proposed Rulemaking (ANPR): CPSC 
Staff Response to Comments,'' May 23, 2006.
    3. Report from Robin L. Ingle, Directorate for Epidemiology, 
Division of Hazard Analysis, CPSC, ``2004 Annual Report of ATV 
Deaths and Injuries,'' September 2005.
    4. Memorandum from Terrance R. Karels, Directorate for Economic 
Analysis, CPSC, to Elizabeth W. Leland, EC, Project Manager, ATVs, 
``Current Market Conditions--ATVs'', May 23, 2006.
    5. Memorandum from Caroleene Paul, Division of Mechanical 
Engineering, Directorate for Engineering Sciences, CPSC, to 
Elizabeth Leland, Project Manager, ATV Safety Review Team, ``Draft 
Proposed Requirements for All-Terrain Vehicles (ATVs),'' May 23, 
2006.
    6. Memorandum from Hope E. Johnson, Engineering Psychologist, 
Division of Human Factors, Directorate for Engineering Sciences, 
CPSC, to Elizabeth Leland, Project Manager ATV Team, ``ATV Age 
Guidelines,'' May 23, 2006.
    7. Memorandum from Sarah B. Brown, Engineering Psychologist, 
Division of Human Factors, Directorate for Engineering Sciences, 
CPSC, to Elizabeth Leland, Project Manager, ATV Project, ``ATV 
Lighting,'' May 22, 2006.
    8. Report from Robert Franklin, Directorate for Economic 
Analysis, CPSC, ``All Terrain Vehicle Mandatory Standard: 
Preliminary Regulatory Analysis'', May 2006.
    9. Report from Robert Franklin, Directorate for Economic 
Analysis, CPSC, ``All Terrain Vehicles: Initial Regulatory 
Flexibility Analysis,'' May 2006.
    10. Memorandum from Timothy P. Smith, Engineering Psychologist, 
Division of Human Factors, Directorate for Engineering Sciences, 
CPSC, ``Minimum requirements for ATV hang tags, product labels, and 
manual warnings,'' May 23, 2006.
    11. Memorandum from Timothy P. Smith, Engineering Psychologist, 
Division of Human Factors, Directorate for Engineering Sciences, 
CPSC, ``Recommended disclosure statement for adult-ATV purchasers,'' 
May 23, 2006.
    12. Memorandum from Hope E. Johnson, Engineering Psychologist, 
Division of Human Factors, Directorate for Engineering Sciences, 
``ATV Training,'' May 17, 2006.
    13. Memorandum from Robin L. Ingle, Health Statistician, Hazard 
Analysis Division, Directorate for Epidemiology, CPSC, ``Explanation 
of Trained ATV Rider Risk Statement,'' April 11, 2006.
    14. Memorandum from Tanya Topka, Compliance Officer, Recalls and 
Compliance Division, CPSC Office of Compliance, ``Three-Wheeled All-
Terrain Vehicles,'' May 22, 2006.

[FR Doc. 06-6703 Filed 8-9-06; 8:45 am]
BILLING CODE 6355-01-P


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