[Federal Register Volume 89, Number 217 (Friday, November 8, 2024)]
[Notices]
[Pages 88856-88861]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-25990]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

[Docket No. NHTSA-2024-0067]


HOLON U.S. Inc.--Receipt of Petition for Temporary Exemption From 
Various Requirements of the Federal Motor Vehicle Safety Standards for 
an Automated Driving System-Equipped Vehicle

AGENCY: National Highway Traffic Safety Administration (NHTSA), 
Department of Transportation (DOT).

ACTION: Notice of receipt of petition for temporary exemption; request 
for public comment.

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SUMMARY: HOLON and HOLON U.S. Inc have petitioned NHTSA for a temporary 
exemption from certain requirements in seven Federal motor vehicle 
safety standards (FMVSS) for its ``automated electric bus,'' which is a 
vehicle equipped with an Automated Driving System (ADS). Specifically, 
HOLON seeks exemption from portions of FMVSS No. 101, Controls and 
displays; FMVSS No. 102, Transmission shift position sequence, starter 
interlock, and transmission braking effect; FMVSS No. 104, Windshield 
wiping and washing systems; FMVSS No. 105, Windshield wiping and 
washing systems; FMVSS No. 108, Lamps, reflective devices, and 
associated equipment; FMVSS No. 111, Rear visibility; and FMVSS No. 
208, Occupant crash protection. NHTSA is

[[Page 88857]]

publishing this document in accordance with statutory and 
administrative provisions and seeks comment on the merits of HOLON's 
exemption petition and on potential terms and conditions that should be 
applied to a temporary exemption if granted. After receiving and 
considering public comments, NHTSA will assess the merits of the 
petition and will publish a notice in the Federal Register notice 
setting forth NHTSA's reasoning for either granting or denying the 
petition.

DATES: Comments must be received on or before January 7, 2025.

ADDRESSES: NHTSA invites you to submit comments on the petition 
described herein and the questions posed below. You may submit comments 
identified by docket number in the heading of this notice by any of the 
following methods:
    <bullet> Fax: (202) 493-2251.
    <bullet> Mail: U.S. Department of Transportation, Docket 
Operations, M-30, Room W12-140, 1200 New Jersey Avenue SE, Washington, 
DC 20590.
    <bullet> Hand Delivery: 1200 New Jersey Avenue SE, West Building 
Ground Floor, Room W12-140, Washington, DC, between 9 a.m. and 5 p.m., 
Monday through Friday, except Federal Holidays.
    <bullet> Federal eRulemaking Portal: Go to http://www.regulations.gov. Follow the online instructions for submitting 
comments.
    <bullet> Instructions: All submissions must include the agency name 
and docket number. Note that all comments received will be posted 
without change to http://www.regulations.gov, including any personal 
information provided. Please see the Privacy Act discussion below. 
NHTSA will consider all comments received before the close of business 
on the comment closing date indicated above. To the extent possible, 
NHTSA will also consider comments filed after the closing date.
    Docket: For access to the docket to read background documents or 
comments received, go to http://www.regulations.gov at any time or to 
1200 New Jersey Avenue SE, West Building Ground Floor, Room W12-140, 
Washington, DC 20590, between 9 a.m. and 5 p.m., Monday through Friday, 
except Federal holidays. Telephone: (202) 366-9826.
    Privacy Act: In accordance with 5 U.S.C. 553(c), DOT solicits 
comments from the public to better inform its rulemaking process. DOT 
posts these comments, without edit, to www.regulations.gov, as 
described in the system of records notice, DOT/ALL-14 FDMS, accessible 
through www.dot.gov/privacy. In order to facilitate comment tracking 
and response, we encourage commenters to provide their name, or the 
name of their organization; however, submission of names is completely 
optional. Whether or not commenters identify themselves, all timely 
comments will be fully considered. If you wish to provide comments 
containing proprietary or confidential information, please contact the 
agency for alternate submission instructions.
    Confidential Business Information: If you wish to submit any 
information under a claim of confidentiality, you must submit your 
request directly to NHTSA's Office of the Chief Counsel. Requests for 
confidentiality are governed by part 512. NHTSA is currently treating 
electronic submission as an acceptable method for submitting 
confidential business information to the agency under part 512. If you 
would like to submit a request for confidential treatment, you may 
email your submission to Dan Rabinovitz in the Office of the Chief 
Counsel at <a href="/cdn-cgi/l/email-protection#c286a3acaba7aeec90a3a0abacadb4abb6b882a6adb6eca5adb4"><span class="__cf_email__" data-cfemail="e0a4818e89858cceb28182898e8f9689949aa0848f94ce878f96">[email protected]</span></a> or you may contact Dan for a 
secure file transfer link. At this time, you should not send a 
duplicate hardcopy of your electronic CBI submissions to DOT 
headquarters. If you claim that any of the information or documents 
provided to the agency constitute confidential business information 
within the meaning of 5 U.S.C. 552(b)(4), or are protected from 
disclosure pursuant to 18 U.S.C. 1905, you must submit supporting 
information together with the materials that are the subject of the 
confidentiality request, in accordance with part 512, to the Office of 
the Chief Counsel. Your request must include a cover letter setting 
forth the information specified in our confidential business 
information regulation (49 CFR 512.8) and a certificate, pursuant to 
Sec.  512.4(b) and part 512, appendix A. In addition, you should submit 
a copy, from which you have deleted the claimed confidential business 
information, to the Docket at the address given above.

FOR FURTHER INFORMATION CONTACT: For legal issues: Sara R. Bennett, 
Office of the Chief Counsel, Telephone: (202) 366-2992; Fax: (202) 366-
3820. For technical issues: Andrew Magaletti, Rulemaking Office of 
Automation Safety at <a href="/cdn-cgi/l/email-protection#4809262c3a2d3f6605292f29242d3c3c21082c273c662f273e"><span class="__cf_email__" data-cfemail="c382ada7b1a6b4ed8ea2a4a2afa6b7b7aa83a7acb7eda4acb5">[email protected]</span></a>, Telephone: (202) 366-
2190; Fax: (202) 366-7002. Mailing address: National Highway Traffic 
Safety Administration, 1200 New Jersey Avenue SE, Washington, DC 20590.

SUPPLEMENTARY INFORMATION: 

I. Introduction
II. Authority and Procedures for Temporary Exemption
III. HOLON's Petition
    A. Overview of the HOLON Bus
    B. Description of HOLON Petition
    C. HOLON's Public Interest Argument
IV. Agency's Review of HOLON's Petition
V. Public Interest Considerations
VI. Statement on Terms
VII. Public Participation

I. Introduction

    NHTSA is responsible for promulgating and enforcing Federal motor 
vehicle safety standards (FMVSS) designed to improve motor vehicle 
safety. Generally, a manufacturer may not manufacture for sale, sell, 
offer for sale, or introduce or deliver for introduction into 
interstate commerce a vehicle that does not comply with all applicable 
FMVSS.\1\ There are limited exceptions to this general prohibition.\2\ 
One path permits manufacturers to petition NHTSA for an exemption for 
noncompliant vehicles under a specified set of statutory bases.\3\ The 
details of these bases, and on which basis HOLON, described as an 
international company headquartered in Germany, and HOLON U.S. Inc., 
the U.S.-based subsidiary (hereinafter referred to collectively as 
``HOLON''), petitions, is provided in the sections of this notice that 
follow.
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    \1\ 49 U.S.C. 30112(a)(1).
    \2\ 49 U.S.C. 30112(b); 49 U.S.C. 30113; 49 U.S.C. 30114.
    \3\ 49 U.S.C. 30113.
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    On August 28, 2024, HOLON submitted a petition for exemption for 
its HOLON bus vehicle (HOLON Bus), which HOLON states is an SAE Level 4 
Automated Driving System-Dedicated Vehicle (ADS-DV).\4\ Specifically, 
HOLON petitioned NHTSA for a temporary exemption from portions of seven 
FMVSS. HOLON requests a two-year exemption for not more than 2,500 
exempted vehicles for each 12-month period covered by the exemption. 
HOLON does not specify how many vehicles it intends to produce under 
the exemption. Without this information, NHTSA may assume that HOLON 
intends to utilize the exemption for up to 2,500 vehicles. NHTSA 
requests comment on this assumption. The temporary exemption, if 
granted, will allow HOLON to manufacture for sale, sell, and deploy 
into interstate commerce vehicles that lack certain safety features 
required by the FMVSS.
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    \4\ Page 4 of the Petition
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II. Authority and Procedures for Temporary Exemption

    The National Traffic and Motor Vehicle Safety Act (Safety Act), 
codified

[[Page 88858]]

at 49 U.S.C. chapter 301, authorizes the Secretary of Transportation to 
exempt motor vehicles, on a temporary basis and under specified 
circumstances, and on terms the Secretary considers appropriate, from a 
FMVSS or bumper standard. This authority is set forth at 49 U.S.C. 
30113. The Secretary has delegated the authority for implementing this 
section to NHTSA.\5\
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    \5\ 49 CFR 1.95.
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    The Safety Act authorizes the Secretary to grant, in whole or in 
part, a temporary exemption to a vehicle manufacturer if the Secretary 
makes one of four specified findings.\6\ The Secretary must also look 
comprehensively at the request for exemption and find that the 
exemption is consistent with the public interest and with the 
objectives of the Safety Act.\7\
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    \6\ 49 U.S.C. 30113(b)(3).
    \7\ 49 U.S.C. 30113(b)(3)(A).
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    The Secretary must evaluate the petition for exemption under at 
least one of the following bases:
    (i) Compliance would cause substantial economic hardship, and the 
manufacturer tried to comply in good faith;
    (ii) the exemption would make easier the development or field 
evaluation of a new motor vehicle safety feature, and the safety level 
is equal to the safety level of the standard;
    (iii) the exemption would make the development or field evaluation 
of a low-emission motor vehicle easier, and the safety level of the 
vehicle is not unreasonably lowered; or
    (iv) compliance would prevent the manufacturer from selling a motor 
vehicle with an overall safety level at least equal to the overall 
safety level of nonexempt vehicles.\8\
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    \8\ 49 U.S.C. 30113(b)(3)(B).
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    HOLON seeks temporary exemption under the basis that compliance 
with the seven FMVSS would prevent it from selling a motor vehicle with 
an overall safety level at least equal to the overall safety level of 
nonexempt (i.e., compliant) vehicles.\9\
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    \9\ 49 U.S.C. 30113(b)(3)(B)(iv).
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    NHTSA established 49 CFR part 555, Temporary Exemption from Motor 
Vehicle Safety and Bumper Standards, to implement the statutory 
provisions concerning temporary exemptions. The requirements in 49 CFR 
555.5 state that the petitioner must set forth the basis of the 
petition and the information required under 49 CFR 555.6, and the 
reasons why the exemption would be in the public interest and 
consistent with the objectives of the Safety Act. A petition submitted 
on the basis that the applicant is otherwise unable to sell (or in this 
instance, manufacture) a vehicle whose overall level of safety or 
impact protection is at least equal to that of a nonexempt vehicle must 
include the information specified in 49 CFR 555.6(d).

III. HOLON's Petition

    The following discussion provides: An overview of the HOLON Bus 
based on information submitted in HOLON's petition; a brief summary of 
HOLON's safety showing and arguments for exemption from portions of 
certain FMVSS; and a summary of the petitioner's arguments that 
granting its petition for exemption would be in the public interest. 
Additionally, HOLON implies, though does not state explicitly, that it 
does not intend to comply with the seven standards at the end of the 
exemption period.\10\ Specifically, HOLON states that it intends to 
work with industry stakeholders on rulemaking efforts during the 
exemption period. HOLON also states that if new rulemaking is not 
completed by NHTSA by the end of the requested period, HOLON will apply 
for an exemption renewal. Because HOLON has sought confidential 
treatment of some aspects of its petition, a redacted version of 
HOLON's petition is included in the docket referenced at the beginning 
of this notice. NHTSA notes that the descriptions in this section are 
extracted from HOLON's petition and do not necessarily reflect the 
views of NHTSA.
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    \10\ See 49 CFR 555.6(d)(3).
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A. Overview of the HOLON Bus

    HOLON describes the HOLON Bus as a purpose-built, highly automated, 
low-emission vehicle designed specifically for operation by an 
Automated Driving System rather than a human driver. It is not equipped 
with manually operated driving controls or features (e.g., steering 
wheel, pedals, manual turn signals, mirrors) that a human might need if 
manually driving the vehicle. It also is designed with ``campfire'' 
seating, meaning a front row of seats that faces backwards, a back row 
of seats that faces forwards, and a side row of seats that faces 
towards the doors on the right of the vehicle. It is classified as a 
bus with a total capacity of 15 passengers (9 seated, 6 standing) and a 
gross vehicle weight rating of 4,800 kilograms (10,582 lbs.). The HOLON 
Bus's SAE Level 4 ADS was collaboratively developed by HOLON and 
Mobileye. HOLON states that while the vehicle is designed to be 
operated by the ADS under normal operating conditions, it is equipped 
with limited manual controls should the need for human intervention 
arise. This limited manual mode is reserved for emergency purposes and 
is speed limited to approximately 6 kilometers per hour (3.7 miles per 
hour). HOLON's petition provides some basic information about the ADS 
and its sensors. For specific FMVSS, HOLON goes into greater detail 
about how it believes the ADS and the accompanying sensor suite fulfill 
those FMVSS requirements with which it does not comply and is seeking 
exemption.
    At the time of the submission of HOLON's petition, the HOLON Bus 
had not yet started regular serial production. It its petition, HOLON 
provides multiple digital renderings of the interior and exterior of 
the vehicle.

B. Description of HOLON Petition

    HOLON has petitioned NHTSA for a temporary exemption from certain 
requirements in seven FMVSS for its ADS-equipped vehicle, the HOLON 
Bus. Specifically, HOLON seeks exemption from portions of:

<bullet> FMVSS No. 101, ``Controls and displays''
<bullet> FMVSS No. 102, ``Transmission shift position sequence, starter 
interlock, and transmission braking effect''
<bullet> FMVSS No. 104, ``Windshield wiping and washing systems''
<bullet> FMVSS No. 105, ``Hydraulic and electric brake systems''
<bullet> FMVSS No. 108, ``Lamps, reflective devices, and associated 
equipment''
<bullet> FMVSS No. 111, ``Rear visibility,'' and
<bullet> FMVSS No. 208, ``Occupant crash protection''

    In its petition for exemption, HOLON asserts that the requirements 
from which it seeks exemption generally assume the presence of a human 
driver to maintain visibility or to activate a manual control. Other 
requirements requiring exemption are related to the HOLON Bus's 
unconventional campfire seating configuration. HOLON states that the 
HOLON Bus and its ADS can meet all applicable elements of the FMVSS for 
which HOLON seeks exemption and that the overall safety in operating 
the bus will be maintained. A short description of the rationale HOLON 
provides for how its vehicle establishes an equivalent level of safety 
for each exemption sought and why it should receive an exemption 
follows. HOLON's petition includes additional detail and support for 
its arguments related to each FMVSS.
    HOLON petitions for exemption from portions of six of NHTSA's crash 
avoidance FMVSS:

[[Page 88859]]

    <bullet> FMVSS No. 101 establishes requirements for vehicle 
controls, telltales, and indicators. HOLON argues that the ADS is 
capable of receiving information through the Controller Area Network 
(CAN) bus, without visual indication, and can initiate controls without 
a physical means to do so. When operating the vehicle in limited manual 
mode, HOLON explains that the certified operator will be provided with 
the same level of information as they would gain through a visual 
telltale or indicator via the command center.
    <bullet> If the transmission shift position sequence includes a 
park position, FMVSS No. 102 requires the identification of gear 
selection shift positions to be displayed in view of the driver, 
including the positions in relation to each other and the position 
selected, when certain conditions exist. HOLON states that the HOLON 
Bus's ADS can meet all shifting requirements of FMVSS No. 102. 
Additionally, HOLON states that in limited manual mode, HOLON provides 
a gear shift device to allow for the human operator to shift gears in a 
manner consistent with the safety objectives of the standard.
    <bullet> For HOLON's petition for exemption from portions of FMVSS 
No. 104 (Windshield Wiping and Washing Systems), HOLON suggests that 
the purpose and intent of the safety standard is obviated by the 
vehicle's sensor system design. HOLON states that the HOLON Bus's ADS 
has a 360-degree view of roadway surroundings with a sensor cleaning 
system functionally equivalent to a windshield wiping system.
    <bullet> Requirements in FMVSS No. 105 refer to foot- and hand-
operated parking brake systems as well as brake system indicator lamps 
visible to the driver. HOLON states that the HOLON Bus's ADS activates 
the parking brake through electrical means and can function properly 
without a visual indicator or physical activation. When operating the 
vehicle in limited manual mode, HOLON explains that the certified 
operator can activate the parking brake and will be provided with 
information about the vehicle's braking system status through the 
command center.
    <bullet> Portions of FMVSS No. 108 contain requirements related to 
manual controls for use by humans in switching various signals and 
lights. HOLON argues that an ADS does not need manual devices for 
signals and lights to function properly, and the HOLON Bus's ADS is 
capable of activation and control of all lighting and signals through 
other means.
    <bullet> FMVSS No. 111 contains requirements for outside mirrors on 
buses. HOLON states that the HOLON Bus's ADS has a 360-degree view of 
surroundings and therefore provides clear and reasonably unobstructed 
view to the rear. When operated in limited manual mode, the certified 
operator is provided with a camera view that provides an equivalent 
field of view to that of outside mirrors.
    Finally, HOLON petitions for exemption from one portion of one of 
NHTSA's crashworthiness FMVSS: FMVSS No. 208, ``Occupant Crash 
Protection.'' S4.4.4.1 of FMVSS No. 208 contains two options for 
meeting occupant crash protection requirements for buses with a gross 
vehicle weight rating of more than 4,526 kg (10,000 lb.) but not 
greater than 11,793 kg (26,000 lb.). One option requires a complete 
passenger protection system in the driver's seating position only. The 
other option provides seat belt requirements at the driver's designated 
seating position and all designated seating positions in the front row 
of seats in a bus. HOLON argues that the HOLON Bus cannot meet 
requirements related to a driver's designated seating position because 
it does not have a driver's designated seating position and proposes to 
interpret the forward-facing seats in its campfire seating 
configuration as the conventional front row of seats referenced in in 
the second option in the standard.
    NHTSA requests comment on the strength and persuasiveness of these 
arguments and the support for each provided by HOLON.

C. HOLON's Public Interest Argument

    HOLON argues that granting its petition for exemption for the HOLON 
Bus furthers the Safety Act's objectives and advances other public 
interests, including:
    1. Saving lives and protecting vulnerable road users
    2. Creating jobs and developing the public transit workforce
    3. Reducing greenhouse gas emissions
    4. Reducing traffic congestion
    5. Accelerating equitable economic development
    6. Promoting inclusivity, accessibility, and freedom of mobility
    7. Supporting flexible and more equitable mobility planning
    NHTSA requests comment on the strength and persuasiveness of these 
arguments and the support for each provided by HOLON.

IV. Agency's Review of HOLON's Petition

    NHTSA has not yet made any judgment on the merits of HOLON's 
petition, the adequacy of the information submitted, or the safety of 
the HOLON Bus. NHTSA will assess the merits of the petition and 
consider public comments on the petition, as well as any additional 
information that the agency receives from HOLON. NHTSA is placing a 
non-confidential copy of the petition in the docket in accordance with 
statutory and administrative provisions.

V. Public Interest Considerations

    NHTSA is seeking comment on the agency's consideration of specific 
matters of public interest in both deciding whether granting the 
exemption is consistent with the public interest and in developing 
terms and conditions with which the petitioner must comply if its 
petition is granted. Section 30113 authorizes NHTSA to grant exemptions 
that are consistent with the public interest and the Safety Act and 
authorizes NHTSA to apply appropriate terms to any such grant. Whether 
granting the exemption is consistent with the public interest and the 
objectives of the Safety Act are required findings that are no less 
critical than a discussion of the particular statutory basis on which 
the exemption is sought (e.g., whether the subject vehicle provides an 
equivalent level of safety to a nonexempt vehicle). Although NHTSA's 
mission is primarily a safety mission, NHTSA's authority under section 
30113 requires the agency to extend its consideration to issues beyond 
traffic safety.\11\
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    \11\ NHTSA stated, in the notice granting Nuro the first 
exemption for an ADS-equipped vehicle, that the broad authority to 
determine whether the public interest and general goals of the 
Vehicle Safety Act will be served by granting the exemption allows 
the Secretary to consider many diverse effects of the exemption, 
including: The overall safety of the transportation system beyond 
the analysis required in the safety determination; how an exemption 
will further technological innovation; economic impacts, such as 
consumer benefits; and environmental effects. 85 FR 7826, 7828 (Feb. 
11, 2020).
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    As the Federal regulatory agency governing automotive safety in the 
U.S. and the interpretation of its existing standards, NHTSA has 
significant discretion in making the safety findings required under 
these provisions. Further, the broad authority to determine whether the 
public interest and general goals of the Safety Act will be served by 
granting the exemption allows the agency to consider many diverse 
effects of the temporary exemption.

[[Page 88860]]

    ADS-equipped vehicles have the potential to benefit our 
transportation system significantly beyond the analysis required in the 
safety determination. As NHTSA considers the potentially transformative 
impact of ADS technology, it is also considering its role in 
encouraging the use of ADS-equipped vehicles in ways that maximize 
their benefit to society. NHTSA will also continue to consider how 
exemptions affect the development of advanced vehicle technologies.
    NHTSA seeks comments on whether the agency should consider 
additional matters of public interest in developing terms and 
conditions with which a part 555 petitioner must comply if its petition 
were granted. NHTSA is seeking comment on whether other areas of public 
interest should be considered, and how the agency can best promote the 
public interest through the exercise of our discretion in granting 
exemptions and establishing terms and conditions to such exemptions.

VI. Statement on Terms

    Section 30113 authorizes the Secretary, NHTSA by delegation, to 
condition the grant of a temporary exemption ``on terms [NHTSA] 
considers appropriate.'' \12\ The agency's authority to set terms is 
broad. It is not limited solely to terms and conditions relevant to its 
specific determination. Instead, this provision allows the agency to 
set terms that would allow NHTSA to collect information about the 
exempted vehicles that would service the public interest, such as 
information concerning the safety performance of the ADS.\13\
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    \12\ 49 U.S.C. 30113(b)(1) (delegation of authority at 49 CFR 
1.95).
    \13\ 85 FR 7826, 7840 (Feb. 11, 2020).
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    If a manufacturer receives a temporary exemption, NHTSA can issue 
terms that can limit or change the permitted use of those vehicles 
produced pursuant to the exemption. NHTSA may also effectively limit 
the use of the exempted vehicles as it exercises its enforcement 
authority (e.g., its safety defect authority). The agency would 
carefully consider whether and what terms to establish if it were to 
grant a temporary exemption. The manufacturer would need to agree to 
abide by the terms set for that exemption before it may begin and 
continue producing vehicles pursuant to that temporary exemption.
    Due to the novel nature of ADS technology and NHTSA's interest in 
better understanding the safety and utility of ADS-equipped vehicles, 
if the petition were granted in whole or in part, the agency 
anticipates applying conditions to the grant.
    NHTSA exercised its authority to apply a variety of terms when it 
granted Nuro's petition for the first ADS-equipped vehicle exempted 
under part 555.\14\ The terms NHTSA chose were designed to enhance the 
public interest and included post-crash reporting, periodic reporting, 
terms concerning cybersecurity, and certain general requirements.
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    \14\ Id.
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    If HOLON's petition is granted, HOLON will need to agree to abide 
by the terms set for that temporary exemption before it may begin and 
continue producing vehicles pursuant to that temporary exemption. 
Nothing in either the statute or implementing regulations limits the 
application of these terms to the period during which the exempted 
vehicles are produced. NHTSA could set terms that continue to apply to 
the vehicles throughout their normal service life if it determines that 
doing so is necessary to be consistent with the Safety Act.
    Thus, if NHTSA grants a temporary exemption, it could establish, 
for example, reporting terms to ensure a continuing flow of information 
to the agency throughout the normal service life of the exempted 
vehicles, not just during the two-year period of exemption. Since only 
a portion of the total mileage that the vehicles, if exempted, could be 
expected to travel during their normal service life would have been 
driven by the end of the exemption period, the data would need to be 
reported over a longer period of time to enable the agency to make 
sufficiently reliable judgments. Such judgments might include those 
made in a retrospective review of the agency's determination about the 
anticipated safety effects of the exemption. For example, when NHTSA 
granted Nuro's exemption, NHTSA stated that the terms would apply 
throughout the useful life of the vehicles. Beyond the two-year 
exemption period, HOLON, like Nuro, could be subject to civil penalties 
for failure to comply with the terms established as a condition for 
granting the part 555 temporary exemption.
    Other potential terms could include limitations on vehicle 
operations (based upon location, speed, weather, identified Operational 
Design Domains, road types, ownership, and management, etc.). 
Conceivably, some conditions could be graduated, i.e., restrictions 
could be progressively relaxed after a period of demonstrated driving 
performance. Further, as with data-sharing, it may be necessary to 
specify that these terms would apply to the exempted vehicles beyond 
the two-year exemption period.
    NHTSA notes that its regulations at 49 CFR part 555 provide that 
the agency can revoke a part 555 exemption if a manufacturer fails to 
satisfy the terms of the exemption. NHTSA could also seek injunctive 
relief.\15\
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    \15\ 49 U.S.C. 30163(a).
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    NHTSA seeks comment on whether the agency should apply the same 
types of conditions that it applied to Nuro's exemption for ADS-
equipped low-speed occupantless vehicles. NHTSA seeks comment not only 
on whether these conditions are appropriate to apply to HOLON's 
exemption, if granted, but also whether there are additional terms that 
NHTSA should apply. HOLON's exemption request differs significantly 
from Nuro's in that the request is for a passenger vehicle, and it is 
not limited to 25 mph, as was the case of the Nuro vehicle. As such, 
there are likely additional terms that would be appropriate to apply to 
HOLON's exemption, if granted.

VII. Public Participation

A. Request for Comment and Comment Period

    The agency seeks comment from the public on the merits of HOLON's 
petition for a temporary exemption. NHTSA is also seeking comment on 
the potential types of terms the agency should set if the agency 
decides to grant the petition.
    NHTSA is providing a 60-day comment period. After considering 
public comments and other available information, NHTSA will publish a 
notice of final action on the petition in the Federal Register.

B. Instructions for Submitting Comments

How long do I have to submit comments?
    Please see DATES section at the beginning of this document.
How do I prepare and submit comments?
    <bullet> Your comments must be written in English.
    <bullet> To ensure that your comments are correctly filed in the 
Docket, please include the Docket Number shown at the beginning of this 
document in your comments.
    <bullet> If you are submitting comments electronically as a PDF 
(Adobe) File, NHTSA asks that the documents be submitted using the 
Optical Character Recognition (OCR) process, thus

[[Page 88861]]

allowing NHTSA to search and copy certain portions of your submissions. 
Comments may be submitted to the docket electronically by logging onto 
the Docket Management System website at http://www.regulations.gov. 
Follow the online instructions for submitting comments.
    <bullet> You may also submit two copies of your comments, including 
the attachments, to Docket Management at the address given above under 
ADDRESSES.
    Please note that pursuant to the Data Quality Act, in order for 
substantive data to be relied upon and used by the agency, it must meet 
the information quality standards set forth in the OMB and DOT Data 
Quality Act guidelines. Accordingly, we encourage you to consult the 
guidelines in preparing your comments. OMB's guidelines may be accessed 
at http://www.whitehouse.gov/omb/fedreg/reproducible.html. DOT's 
guidelines may be accessed at http://www.bts.gov/programs/statistical_policy_and_research/data_quality_guidelines.
Will the Agency consider late comments?
    We will consider all comments that Docket Management receives 
before the close of business on the comment closing date indicated 
above under DATES. To the extent possible, we will also consider 
comments that Docket Management receives after that date.
How can I read the comments submitted by other people?
    You may see the comments on the internet. To read the comments on 
the internet, go to http://www.regulations.gov. Follow the online 
instructions for accessing the dockets.
    Please note that, even after the comment closing date, we will 
continue to file relevant information in the Docket as it becomes 
available. Further, some people may submit late comments. Accordingly, 
we recommend that you periodically check the Docket for new material.

(Authority: 49 U.S.C. 30113 and 49 U.S.C. 30166; delegations of 
authority at 49 CFR 1.95 and 501.5.)

    Issued in Washington, DC, under authority delegated in 49 CFR 
1.95 and 501.5.
Sophie Shulman,
Deputy Administrator.
[FR Doc. 2024-25990 Filed 11-7-24; 8:45 am]
BILLING CODE 4910-59-P


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