Source: https://regulations.justia.com/regulations/fedreg/2013/12/26/2013-30896.html
Timestamp: 2020-07-07 14:09:06
Document Index: 643409909

Matched Legal Cases: ['art 387', '§ 32918', '§ 13906', '§ 13906', '§ 387', 'art 387']

Registration and Financial Security Requirements for Brokers of Property and Freight Forwarders; Association of Independent Property Brokers and Agents' Exemption Application, 78472-78474 [2013-30896] :: Federal Motor Carrier Safety Administration :: Department Of Transportation :: Regulation Tracker :: Justia
Justia Regulation Tracker Department Of Transportation Federal Motor Carrier Safety Administration Registration and Financial Security Requirements for Brokers of Property and Freight Forwarders; Association of Independent Property Brokers and Agents' Exemption Application, 78472-78474 [2013-30896]
Registration and Financial Security Requirements for Brokers of Property and Freight Forwarders; Association of Independent Property Brokers and Agents' Exemption Application, 78472-78474 [2013-30896]
Download as PDF 78472 Federal Register / Vol. 78, No. 248 / Thursday, December 26, 2013 / Notices IAM argues that the new bond requirement is ‘‘geared toward commercial consumer protection’’ and therefore it is unnecessary to require freight forwarders in the DOD HHG program to obtain a $75,000 bond. It believes that the bond is an additional cost of doing business that is being mandated by FMCSA and that this cost is being passed on to DOD with no benefit to the DOD. IAM explains that DOD freight forwarders will be forced to add this cost to the rates they provide DOD. IAM argues there is a precedent for providing an exemption for transportation service providers for the DOD. It cites the Federal Maritime Commission (FMC) regulation at 46 CFR 515.4(e), exempting entities exclusively involved in the movement of Federal military and civilian household goods from certain FMC licensing requirements. Institution of Proceeding and Request for Comments emcdonald on DSK67QTVN1PROD with NOTICES Pursuant to 49 U.S.C. 13541(b), FMCSA is instituting a proceeding to consider whether domestic freight forwarders operating solely within the DOD HHG program should be exempt from the new $75,000 financial security requirements at 49 U.S.C. 13906(c) and 49 CFR 387.403(c). FMCSA requests public comment, and comment from DOD and FMC, on the IAM exemption application. Specifically, FMCSA requests comments on whether the Agency should grant or deny the application, in whole or in part. The Agency also requests comments on how it should apply 49 U.S.C. 13541(a)(1–3) to IAM’s request. Additionally, FMCSA seeks comment on whether section 13541(e)(1)’s reference to ‘‘cargo loss and damage’’ and/or ‘‘insurance’’ bars FMCSA from granting the requested exemption as a matter of law and without application of the 3-part statutory test under section 13541(a). Commenters are encouraged to provide data or information concerning the impact of the new bond requirements and/or the impact of granting this exemption request on carriers, brokers, freight forwarders and shippers. Issued on: December 18, 2013. Larry W. Minor, Associate Administrator for Policy. [FR Doc. 2013–30898 Filed 12–24–13; 8:45 am] BILLING CODE 4910–EX–P VerDate Mar<15>2010 18:06 Dec 24, 2013 Jkt 232001 DEPARTMENT OF TRANSPORTATION Public Participation and Request for Comments Federal Motor Carrier Safety Administration FMCSA encourages you to participate in this proceeding by submitting comments, data, and related materials. All comments received will be posted without change to http:// www.regulations.gov and will include any personal and/or copyrighted information you provide. [FMCSA–2013–0513] Registration and Financial Security Requirements for Brokers of Property and Freight Forwarders; Association of Independent Property Brokers and Agents’ Exemption Application Federal Motor Carrier Safety Administration (FMCSA). ACTION: Notice of application for exemption; request for public comments. AGENCY: FMCSA announces that it has received an application from the Association of Independent Property Brokers and Agents (AIPBA) for an exemption for all property brokers and freight forwarders from the $75,000 bond provision included in section 32918 of the Moving Ahead for Progress in the 21st Century Act (MAP–21), now codified in 49 U.S.C. 13906. AIPBA filed its request pursuant to 49 U.S.C. 13541. On September 5, 2013, FMCSA published guidance in the Federal Register concerning section 32918 and on October 1, 2013, the Agency published a final rule amending 49 CFR part 387 to set a minimum $75,000 surety bond/trust fund requirement for brokers of property and freight forwarders. FMCSA requests comments from all interested parties on AIPBA’s exemption request. DATES: Comments must be received on or before January 27, 2014. ADDRESSES: You may submit comments, identified by docket number FMCSA– 2013–0513, by any of the following methods: • Federal eRulemaking Portal: http:// www.regulations.gov. • Fax: 1–202–493–2251. • Mail: Docket Management Facility (M–30), U.S. Department of Transportation, West Building Ground Floor, Room W12–140, 1200 New Jersey Avenue SE., Washington, DC 20590– 0001. • Hand delivery: Same as mail address above, between 9 a.m. and 5 p.m. ET, Monday through Friday, except Federal holidays. The telephone number is 202–366–9329. To avoid duplication, please use only one of these four methods. FOR FURTHER INFORMATION CONTACT: Mr. Thomas Yager, Chief of Driver and Carrier Operations, (202) 366–4001 or thomas.yager@dot.gov, FMCSA, Department of Transportation, 1200 New Jersey Ave., SE., Washington, DC 20590. SUMMARY: PO 00000 Frm 00148 Fmt 4703 Sfmt 4703 Submitting Comments If you submit a comment, please include the docket number for this proceeding (FMCSA–2013–0513), indicate the specific section of this document to which each comment applies, and provide a reason for each suggestion or recommendation. You may submit your comments and material online or by fax, mail, or hand delivery, but please use only one of these means. FMCSA recommends that you include your name and a mailing address, an email address, or a phone number in the body of your document so that FMCSA can contact you if there are questions regarding your submission. However, see the Privacy Act section below regarding availability of this information to the public. To submit your comment online, go to http://www.regulations.gov and click on the ‘‘Submit a Comment’’ box, which will then become highlighted in blue. In the ‘‘Document Type’’ drop down menu, select ‘‘Rules,’’ insert ‘‘FMCSA–2013– 0513’’ in the ‘‘Keyword’’ box, and click ‘‘Search.’’ When the new screen appears, click on ‘‘Submit a Comment’’ in the ‘‘Actions’’ column. If you submit your comments by mail or hand delivery, submit them in an unbound format, no larger than 81⁄2 by 11 inches, suitable for copying and electronic filing. If you submit comments by mail and would like to know that they reached the facility, please enclose a stamped, self-addressed postcard or envelope. FMCSA will consider all comments and material received during the comment period. Viewing Comments and Documents AIPBA’s exemption application and all public comments are available in the public docket. To view comments filed in this docket, go to http:// www.regulations.gov and click on the ‘‘Read Comments’’ box in the upper right hand side of the screen. Then, in the ‘‘Keyword’’ box, insert ‘‘FMCSA– 2013–0513’’ and click ‘‘Search.’’ Next, click the ‘‘Open Docket Folder’’ in the ‘‘Actions’’ column. Finally, in the ‘‘Title’’ column, click on the document you would like to review. If you do not E:\FR\FM\26DEN1.SGM 26DEN1 Federal Register / Vol. 78, No. 248 / Thursday, December 26, 2013 / Notices have access to the Internet, you may view the docket online by visiting the Docket Management Facility in Room W12–140 on the ground floor of the Department of Transportation West Building, 1200 New Jersey Avenue SE., Washington, DC 20590, between 9 a.m. and 5 p.m. ET, Monday through Friday, except Federal holidays. emcdonald on DSK67QTVN1PROD with NOTICES Privacy Act Anyone is able to search the electronic docket for all comments received into any of our dockets by the name of the individual submitting the comment (or signing the comment, if submitted on behalf of an association, business, labor union, etc.). You may review the DOT Privacy Act system of records notice for the Federal Docket Management System (FDMS) that DOT published in the Federal Register on January 17, 2008 (73 FR 3316). SUPPLEMENTARY INFORMATION: Legal Basis Section 13541 of title 49 of the United States Code (49 U.S.C. 13541) requires the Secretary of Transportation (Secretary) to exempt a person, class of persons, or a transaction or service from the application, in whole or in part, of a provision of 49 U.S.C. Part B (Chapters 131–149), or to use the exemption authority to modify the application of a provision of 49 U.S.C. Part B (Chapters 131–149) as it applies to such person, class, transaction, or service when the Secretary finds that the application of the provision: • Is not necessary to carry out the transportation policy of 49 U.S.C. 13101 • Is not needed to protect shippers from the abuse of market power or that the transaction or service is of limited scope; and • Is in the public interest. Further, the exemption authority provided by section 13541 ‘‘may not be used to relieve a person from the application of, and compliance with, any law, rule, regulation, standard, or order pertaining to cargo loss and damage [or] insurance . . .’’ 49 U.S.C. 13541(e)(1). AIPBA seeks an exemption from the $75,000 financial security requirements for brokers and freight forwarders at 49 U.S.C. 13906 (b) & (c). Section 13906 is located in 49 U.S.C. Part B (chapter 139) and therefore may be considered within the general scope of the exemption authority provided by section 13541. The Secretary may begin a section 13541 exemption proceeding on the application of an interested party. 49 U.S.C. 13541(b). See, e.g., Motor Carrier Financial Information Reporting Requirements-Request for Public VerDate Mar<15>2010 18:06 Dec 24, 2013 Jkt 232001 Comments, 68 FR 48987 (Aug. 15, 2003). The Secretary may ‘‘specify the period of time during which an exemption’’ is effective and may revoke the exemption ‘‘to the extent specified, on finding that application of a provision of [49 U.S.C. Chapters 131– 149] to the person, class, or transportation is necessary to carry out the transportation policy of [49 U.S.C.] section 13101.’’ 49 U.S.C. 13541(c), (d). The Administrator of FMCSA has been delegated authority under 49 CFR 1.87 to carry out the functions vested in the Secretary by 49 U.S.C. 13541. Background On July 6, 2012, the President signed MAP–21 into law, which included a number of mandatory, non-discretionary changes to FMCSA programs. Some of these changes amended the financial security requirements applicable to property brokers and freight forwarders operating under FMCSA’s jurisdiction. P.L. 112–141, § 32918, 126 Stat. 405 (codified at 49 U.S.C. § 13906(b) & (c)). More specifically, 49 U.S.C. § 13906(b) and (c) requires brokers and freight forwarders to provide evidence of minimum financial security in the amount of $75,000. On September 5, 2013, FMCSA published guidance (78 FR 54720) ‘‘concerning the implementation of certain provisions of . . . (MAP–21) concerning persons acting as a broker or a freight forwarder.’’ On October 1, 2013, FMCSA issued regulations requiring brokers and freight forwarders to have a $75,000 surety bond or trust fund in effect. 49 CFR §§ 387.307(a), 387.403(c). 78 FR 60226, 60233. On November 14, 2013, after initially filing and dismissing in district court, AIPBA filed a petition for review in the U.S. Court of Appeals for the 11th Circuit. Association of Independent Property Brokers and Agents, Inc. v. Foxx, No. 13–15238–D (11th Cir.). The petition alleges the Agency’s October 1 final rule was improperly issued without notice and comment. AIPBA Exemption Application In an August 14, 2013 letter to the Secretary, AIPBA, through its counsel, requests that the Department ‘‘permanently exempt all property brokers and freight forwarders from the $75,000 broker bond provision of MAP– 21. . . .’’ AIPBA argues that the ‘‘$75,000 broker surety bond amount is not necessary to carry out the transportation policy of section 13101, [or] . . . to protect shippers from the abuse of market power . . . and . . . is not in the public interest.’’ AIPBA seeks a categorical exemption ‘‘so that PO 00000 Frm 00149 Fmt 4703 Sfmt 4703 78473 property brokers and forwarders can continue to do business under the existing bond regulations.’’ A copy of the exemption application is included in the docket referenced at the beginning of this notice. First, AIPBA believes that the $75,000 bond requirement is contrary to the transportation policy of 49 U.S.C. 13101 because it violates the federal government’s policy of ‘‘encourage[ing] fair competition, and reasonable rates for transportation by motor carriers of property’’ and ‘‘allow[ing] a variety of quality and price options to meet changing market demands and the diverse requirements of the shipping and traveling public. . . .’’ 49 U.S.C. 13101(a)(2)(A),(D). AIPBA also argues that the $75,000 broker bond requirement ‘‘is not necessary to protect shippers from the abuse of market power.’’ According to AIPBA, ‘‘[t]he unnecessarily high $75,000 broker bond requirement will cause the majority of property brokers to leave the marketplace, which will expose shippers to abuses of market power by the few large property brokers able to stay in business.’’ With regard to the public interest, AIPBA believes the new bond requirement will ‘‘cause a significant increase in consumer prices once the supply of property brokers is drastically reduced.’’ AIPBA indicated that a lack of competition will require shippers to pay more for transportation services. In addition to predicting that small and mid-sized brokers will be forced out of the market place due to the new higher bond requirement, AIPBA believes the new requirement will serve as a barrier to entry into the market place for other property brokers. Finally, while AIPBA acknowledges that ‘‘there are certain regulations from which [the Secretary] cannot issue exemptions,’’ it believes that ‘‘the broker bond does not fall into one of the listed categories. Specifically, AIPBA argues that the bond is a financial security rather than a type of required insurance, a distinction emphasized in 49 U.S.C. 13906 by the choice of a bond or insurance as well as MAP–21’s amendment to 49 U.S.C. 13906, which still requires the broker bond but deletes all reference to insurance.’’ Request for Comments FMCSA requests public comment on the AIPBA exemption application. Specifically, FMCSA requests comments on whether the Agency should grant or deny the application, in whole or in part. The Agency also requests comments on how it should apply 49 U.S.C. 13541(a)(1–3) to AIPBA’s request. E:\FR\FM\26DEN1.SGM 26DEN1 78474 Federal Register / Vol. 78, No. 248 / Thursday, December 26, 2013 / Notices Additionally, FMCSA seeks comment on whether the reference to ‘‘cargo loss and damage’’ and/or ‘‘insurance’’ in section 13541(e)(1) bars FMCSA from granting the requested exemption as a matter of law and without application of the three-part statutory test under section 13541(a). Commenters are encouraged to provide data or information concerning the impact of the new bond requirements and/or the impact of granting this exemption request on carriers, brokers, freight forwarders and shippers. Issued on: December 18, 2013. Larry W. Minor, Associate Administrator for Policy. [FR Doc. 2013–30896 Filed 12–24–13; 8:45 am] BILLING CODE 4910–EX–P DEPARTMENT OF TRANSPORTATION Federal Motor Carrier Safety Administration [Docket No. FMCSA–2013–0518] Knowledge Testing of New Entrant Motor Carriers, Freight Forwarders and Brokers Federal Motor Carrier Safety Administration (FMCSA), DOT. ACTION: Notice of public listening session. AGENCY: FMCSA announces that it will hold a public listening session on January 13, 2014, to solicit ideas and information concerning sections 32101 and 32916 of the Moving Ahead for Progress in the 21st Century Act (Pub. L. 112–141) (MAP–21). These provisions require the assessment of applicants’ knowledge of regulations and industry practices for persons seeking registration authority as motor carriers (property, passenger, and household goods (HHG)), freight forwarders and brokers. This listening session is the first in a series through which the Agency will request information from interested parties concerning potential test topics, the relationship between the knowledge testing requirement and the Agency’s Unified Registration System (URS) program, and test development and delivery. The January 13, 2014, session will be held at the American Bus Association’s (ABA) Marketplace conference in Nashville, Tennessee. All comments will be transcribed and placed in the docket referenced above for FMCSA’s consideration. And the entire day’s proceedings will be webcast. emcdonald on DSK67QTVN1PROD with NOTICES SUMMARY: VerDate Mar<15>2010 18:06 Dec 24, 2013 Jkt 232001 The listening session will be held on Monday, January 13, 2014, from 9:30 a.m. to 11:30 a.m. and 2:30 p.m. to 4:30 p.m. If all interested participants have had an opportunity to comment, the session may conclude early. DATES: The listening session will be held at the Music City Center, 201 Fifth Ave. South, Nashville, TN 37203 in Room 202 C. In addition to attending the session in person, the Agency offers several ways to provide comments, as enumerated below. Internet Address for Live Webcast. FMCSA will post specific information on how to participate via the Internet on the FMCSA Web site at www.fmcsa.dot.gov in advance of the listening session. You may submit comments bearing the Federal Docket Management System (FDMS) Docket ID FMCSA–2001–11061 using any of the following methods: • Federal eRulemaking Portal: Go to www.regulations.gov. Follow the on-line instructions for submitting comments. • Mail: Docket Management Facility; U.S. Department of Transportation, 1200 New Jersey Avenue SE., West Building Ground Floor, Room W12–140, Washington, DC 20590–0001. • Hand Delivery or Courier: West Building Ground Floor, Room W12–140, 1200 New Jersey Avenue SE., Washington, DC, between 9 a.m. and 5 p.m., ET, Monday through Friday, except Federal Holidays. • Fax: 1–202–493–2251. Each submission must include the Agency name and the docket number for this notice. Note that DOT posts all comments received, without change, to www.regulations.gov, including any personal information included in a comment. Please see the Privacy Act heading below. Docket: For access to the docket to read background documents or comments, go to www.regulations.gov at any time or visit Room W12–140 on the ground level of the West Building, 1200 New Jersey Avenue SE., Washington, DC, between 9 a.m. and 5 p.m., ET, Monday through Friday, except Federal holidays. The online Federal document management system is available 24 hours each day, 365 days each year. If you would like acknowledgment that the Agency received your comments, please include a self-addressed, stamped envelope or postcard or print the acknowledgement page that appears after submitting comments on-line. Privacy Act: Anyone may search the electronic form of all comments received into any of our dockets by the name of the individual submitting the comment (or of the person signing the ADDRESSES: PO 00000 Frm 00150 Fmt 4703 Sfmt 4703 comment, if submitted on behalf of an association, business, labor union, etc.). You may review DOT’s Privacy Act Statement for the Federal Docket Management System published in the Federal Register on December 29, 2010 (75 FR 82132) . FOR FURTHER INFORMATION CONTACT: For information concerning the listening session or the live webcast, please contact Ms. Shannon L. Watson, Senior Policy Advisor, FMCSA, (202) 385– 2395. If you need sign language assistance to participate in this New Entrant Testing listening session, contact Ms. Watson by Monday, January 6, 2014, to allow us to arrange for such services. FMCSA cannot guarantee that interpreter services requested on short notice will be provided. SUPPLEMENTARY INFORMATION: I. Background On July 6, 2012, the President signed MAP–21 into law. The new law included certain requirements concerning the registration of motor carriers (property, passenger, and household goods (HHG)), freight forwarders and brokers. Section 32101 of MAP–21 includes requirements for a written proficiency examination to assess motor carrier registration applicants’ knowledge of applicable safety regulations, standards, and orders of the Federal government. Section 32916 includes requirements that applicants for freight forwarder and broker registration authority employ, as an officer, an individual with 3 years of relevant experience who ‘‘provides the Secretary with satisfactory evidence of the individuals’ knowledge of related rules, regulations, and industry practices.’’ In consideration of the MAP–21 requirements, the Agency believes it would be helpful to conduct a series of public listening sessions to provide all interested parties the opportunity to share their views on the subject prior to the initiation of a rulemaking. The Agency will publish a notice or notices in the Federal Register to announce the dates and locations of future listening sessions on this topic. The Agency requests information concerning: Potential test topics (e.g., regulations and industry best practices); the relationship between the knowledge testing requirement and the Agency’s August 23, 2013, Unified Registration System (URS) final rule (78 FR 52608); 1 1 The final rule amends FMCSA’s regulations to require interstate motor carriers, freight forwarders, brokers, intermodal equipment providers, hazardous materials safety permit applicants, and E:\FR\FM\26DEN1.SGM 26DEN1
[FR Doc No: 2013-30896]
Registration and Financial Security Requirements for Brokers of
Property and Freight Forwarders; Association of Independent Property
Brokers and Agents' Exemption Application
Association of Independent Property Brokers and Agents (AIPBA) for an
exemption for all property brokers and freight forwarders from the
$75,000 bond provision included in section 32918 of the Moving Ahead
for Progress in the 21st Century Act (MAP-21), now codified in 49
U.S.C. 13906. AIPBA filed its request pursuant to 49 U.S.C. 13541. On
September 5, 2013, FMCSA published guidance in the Federal Register
concerning section 32918 and on October 1, 2013, the Agency published a
final rule amending 49 CFR part 387 to set a minimum $75,000 surety
bond/trust fund requirement for brokers of property and freight
forwarders. FMCSA requests comments from all interested parties on
AIPBA's exemption request.
2013-0513, by any of the following methods:
Department of Transportation, 1200 New Jersey Ave., SE., Washington, DC
proceeding (FMCSA-2013-0513), indicate the specific section of this
``Rules,'' insert ``FMCSA-2013-0513'' in the ``Keyword'' box, and click
AIPBA's exemption application and all public comments are available
in the public docket. To view comments filed in this docket, go to
http://www.regulations.gov and click on the ``Read Comments'' box in
the upper right hand side of the screen. Then, in the ``Keyword'' box,
insert ``FMCSA-2013-0513'' and click ``Search.'' Next, click the ``Open
Docket Folder'' in the ``Actions'' column. Finally, in the ``Title''
column, click on the document you would like to review. If you do not
have access to the Internet, you may view the docket online by visiting
loss and damage [or] insurance . . .'' 49 U.S.C. 13541(e)(1).
AIPBA seeks an exemption from the $75,000 financial security
requirements for brokers and freight forwarders at 49 U.S.C. 13906 (b)
& (c). Section 13906 is located in 49 U.S.C. Part B (chapter 139) and
authority provided by section 13541. The Secretary may begin a section
13541 exemption proceeding on the application of an interested party.
49 U.S.C. 13541(b). See, e.g., Motor Carrier Financial Information
Reporting Requirements-Request for Public Comments, 68 FR 48987 (Aug.
15, 2003). The Secretary may ``specify the period of time during which
an exemption'' is effective and may revoke the exemption ``to the
extent specified, on finding that application of a provision of [49
U.S.C. Chapters 131-149] to the person, class, or transportation is
necessary to carry out the transportation policy of [49 U.S.C.] section
13101.'' 49 U.S.C. 13541(c), (d).
operating under FMCSA's jurisdiction. P.L. 112-141, Sec.  32918, 126
Stat. 405 (codified at 49 U.S.C. Sec.  13906(b) & (c)). More
specifically, 49 U.S.C. Sec.  13906(b) and (c) requires brokers and
freight forwarders to provide evidence of minimum financial security in
the amount of $75,000.
CFR Sec. Sec.  387.307(a), 387.403(c). 78 FR 60226, 60233.
On November 14, 2013, after initially filing and dismissing in
district court, AIPBA filed a petition for review in the U.S. Court of
Appeals for the 11th Circuit. Association of Independent Property
Brokers and Agents, Inc. v. Foxx, No. 13-15238-D (11th Cir.). The
petition alleges the Agency's October 1 final rule was improperly
issued without notice and comment.
In an August 14, 2013 letter to the Secretary, AIPBA, through its
counsel, requests that the Department ``permanently exempt all property
brokers and freight forwarders from the $75,000 broker bond provision
of MAP-21. . . .'' AIPBA argues that the ``$75,000 broker surety bond
amount is not necessary to carry out the transportation policy of
section 13101, [or] . . . to protect shippers from the abuse of market
power . . . and . . . is not in the public interest.'' AIPBA seeks a
categorical exemption ``so that property brokers and forwarders can
continue to do business under the existing bond regulations.'' A copy
of the exemption application is included in the docket referenced at
First, AIPBA believes that the $75,000 bond requirement is contrary
to the transportation policy of 49 U.S.C. 13101 because it violates the
federal government's policy of ``encourage[ing] fair competition, and
reasonable rates for transportation by motor carriers of property'' and
``allow[ing] a variety of quality and price options to meet changing
market demands and the diverse requirements of the shipping and
traveling public. . . .'' 49 U.S.C. 13101(a)(2)(A),(D).
AIPBA also argues that the $75,000 broker bond requirement ``is not
necessary to protect shippers from the abuse of market power.''
According to AIPBA, ``[t]he unnecessarily high $75,000 broker bond
requirement will cause the majority of property brokers to leave the
marketplace, which will expose shippers to abuses of market power by
the few large property brokers able to stay in business.''
With regard to the public interest, AIPBA believes the new bond
requirement will ``cause a significant increase in consumer prices once
the supply of property brokers is drastically reduced.'' AIPBA
indicated that a lack of competition will require shippers to pay more
for transportation services. In addition to predicting that small and
mid-sized brokers will be forced out of the market place due to the new
higher bond requirement, AIPBA believes the new requirement will serve
as a barrier to entry into the market place for other property brokers.
Finally, while AIPBA acknowledges that ``there are certain
regulations from which [the Secretary] cannot issue exemptions,'' it
believes that ``the broker bond does not fall into one of the listed
categories. Specifically, AIPBA argues that the bond is a financial
security rather than a type of required insurance, a distinction
emphasized in 49 U.S.C. 13906 by the choice of a bond or insurance as
well as MAP-21's amendment to 49 U.S.C. 13906, which still requires the
broker bond but deletes all reference to insurance.''
FMCSA requests public comment on the AIPBA exemption application.
Specifically, FMCSA requests comments on whether the Agency should
grant or deny the application, in whole or in part. The Agency also
requests comments on how it should apply 49 U.S.C. 13541(a)(1-3) to
AIPBA's request.
Additionally, FMCSA seeks comment on whether the reference to ``cargo
loss and damage'' and/or ``insurance'' in section 13541(e)(1) bars
FMCSA from granting the requested exemption as a matter of law and
without application of the three-part statutory test under section
13541(a). Commenters are encouraged to provide data or information
concerning the impact of the new bond requirements and/or the impact of
granting this exemption request on carriers, brokers, freight
forwarders and shippers.