the United States. The Secretary shall establish, by regulation, methods and procedures to assure compliance with this section.

"(eX(1) Any person (except an employee who acts without knowledge) who is determined by the Secretary, after notice and opportunity for a hearing, to have knowingly violated this section or a regulation issued under this section shall be liable to the United States for a civil penalty of not more than $10,000 for each violation, and if any such violation is a continuing one, each day of violation constitutes a separate offense. The amount of any such penalty shall be assessed by the Secretary by written notice. In determining the amount of such penalty, the Secretary shall take into account the nature, circumstances, extent, and gravity of the violation committed and, with respect to the person found to have committed such violation, the degree of culpability, any history of prior offenses, ability to pay, effect on ability to continue to do business, and such other matters as justice may require.

“(2) Such civil penalty may be recovered in an action brought by the Attorney General on behalf of the United States in the appropriate district court of the United States or, prior to referral to the Attorney General, such civil penalty may be compromised by the Secretary. The amount of such penalty, when finally determined (or agreed upon in compromise), may be deducted from any sums owed by the United States to the person charged. All penalties collected under this subsection shall be deposited in the Treasury of the United States as miscellaneous receipts. "(f) This section shall not apply

"(1) to a motor vehicle transporting only school children and teachers to or from school;

"(2) to a motor vehicle providing taxicab service and having a seating capacity of less than 7 passengers and not operated on a regular route or between specified points; and

"(3) to a motor vehicle carrying less than 16 individuals in a single, daily round trip to commute to and from work.

"(g) For purposes of this section, the term

"(1) 'Secretary' means the Secretary of Transportation; and

"(2) 'State' means a State of the United States and the District of Columbia."

MINIMUM FINANCIAL RESPONSIBILITY FOR MOTOR CARRIERS ENGAGED IN TRANSPORTATION OF PROPERTY FOR HIRE FOR PUBLIC LIABILITY, PROPERTY DAMAGE, AND ENVIRONMENTAL RESTORATION; OIL OR HAZARDOUS MATERIALS, SUBSTANCES, OR WASTES; PENALTY; REPORT TO CONGRESS; VEHICLES AFFECTED; DEFINI

TIONS

Section 30 of Pub. L. 96-296, as amended by Pub. L. 97-424, title IV, § 406, Jan. 6, 1983, 96 Stat. 2158, provided that:

"(a)(1) The Secretary of Transportation shall establish regulations to require minimal levels of financial responsibility sufficient to satisfy liability amounts to be determined by the Secretary covering public liability, property damage, and environmental restoration for the transportation of property for hire by motor vehicle in the United States from a place in one State to a place in another State, from a place in a State to another place in such State through a place outside of such State, or between a place in a State and a place outside the United States.

"(2) The minimal level of financial responsibility established by the Secretary under paragraph (1) of this subsection for any vehicle shall not be less than $750,000, except that the Secretary, by regulation, may reduce such amount (but not to an amount less than $500,000) for any class of vehicles or operations for the three and one-half year period beginning on the effective date of the regulations issued under such paragraph or any part of such period if the Secretary finds that such reduction will not adversely affect public safety and will prevent a serious disruption in transportation service.

"(3) If, at the end of the one-year period beginning on the date of enactment of this Act [July 1, 1980), the Secretary has not established regulations to require minimal levels of financial responsibility as required by paragraph (1) of this subsection for any class of transportation of property for hire by motor vehicle from a place in a State to a place in another State or from a place in a State to another place in such State through another State, the levels of financial responsibility for such class of transportation shall be the $750,000 amount set forth in paragraph (2) of this subsection, until such time as the Secretary, by regulation, changes such amount under this subsection. Notwithstanding the provisions of such paragraph, the Secretary may only make reductions in such amount under such paragraph for the three and one-half year period beginning on the 366th day following the date of enactment of this Act or any part of such period.

"(b)(1) The Secretary shall establish regulations to require minimal levels of financial responsibility sufficient to satisfy liability amounts to be determined by the Secretary covering public liability, property damage, and environmental restoration for the transportation of hazardous materials (as defined by the Secretary), oil or hazardous substances (as defined by the Administrator of the Environmental Protection Agency), or hazardous wastes (as defined by the Administrator of the Environmental Protection Agency) by motor vehicle in interstate or intrastate commerce.

"(2) The minimal level of financial responsibility established by the Secretary under paragraph (1) of this subsection for any vehicle transporting in interstate or intrastate commerce

"(A) hazardous substances (as defined by the Administrator Agency) in cargo tanks, portable tanks, or hoppertype vehicles, with capacities in excess of 3,500 water gallons,

of the Environmental Protection

"(B) in bulk class A explosives, poison gas, liquefied gas, or compressed gas, or

"(C) large quantities of radioactive materials, shall not be less than $5,000,000, except that the Secretary, by regulation, may reduce such amount (but not to an amount less than $1,000,000) for any class of vehicles or operations for the three and one-half year period beginning on the effective date of the regulations issued under this subsection or any part of such period if the Secretary finds that such reduction will not adversely affect public safety and will prevent a serious disruption in transportation service.

"(3) The minimal level of financial responsibility established by the Secretary under paragraph (1) of this subsection for any vehicle transporting in interstate or intrastate commerce any material, oil, substance, or waste not subject to the provisions of paragraph (2) of this subsection shall not be less than $1,000,000, except that (A) the Secretary, by regulation, may reduce such amount (but not to an amount less than $500,000) for any class of vehicles or operations for the three and one-half year period beginning on the effective date of the regulations issued under this subsection or any part of such period if the Secretary finds that such reduction will not adversely affect public safety and will prevent a serious disruption in transportation service, and (B) in the case of any class of vehicles transporting any such material, oil, substance, or waste in intrastate commerce other than in bulk, the Secretary, by regulation, may reduce such amount if the Secretary finds that such reduction will not adversely affect public safety.

"(4) If, at the end of the one-year period beginning on the date of enactment of this Act [July 1, 1980), the Secretary has not established regulations to require minimal levels of financial responsibility as required by paragraph (1) of this subsection for any class of transportation of hazardous materials, oil, hazardous substances, or hazardous wastes by motor vehicle in interstate or intrastate commerce, the levels

of financial responsibility for such class of transportation shall be the $5,000,000 amount set forth in paragraph (2) of this subsection or the $1,000,000 amount set forth in paragraph (3) of this subsection, as the case may be, until such time as the Secretary, by regulation, changes such amount under this subsection. Notwithstanding the provisions of paragraph (2) or (3)(A) of this subsection, the Secretary may only make reductions in such amount under such paragraph for the three and one-half year period beginning on the 366th day following the date of enactment of this Act or any part of such period.

"(c)(1) Subject to paragraph (2) of this subsection, financial responsibility may be established under this section by any one or any combination of the following methods acceptable to the Secretary: evidence of insurance, guarantee, surety bond, or qualification as a self-insurer. Any bond filed shall be issued by a bonding company authorized to do business in the United States. The Secretary shall establish, by regulation, methods and procedures to assure compliance with this section.

"(2)(A) Any person domiciled in any contiguous foreign country who provides transportation by motor vehicle to which any of the minimal levels of financial responsibility established under this section apply shall have evidence of such financial responsibility in such motor vehicle at any time such person is providing such transportation.

"(B) The Secretary of Transportation and the Secretary of the Treasury shall deny entry into the United States of any motor vehicle in which there is not evidence of financial responsibility required to be in such vehicle under subparagraph (A) of this paragraph.

"(d)1) Any person (except an employee who acts without knowledge) who is determined by the Secretary, after notice and opportunity for a hearing, to have knowingly, violated this section or a regulation issued under this section shall be liable to the United States for civil penalty of not more than $10,000 for each violation, and if any such violation is a continuing one each day of violation constitutes a separate offense. The amount of any such penalty shall be assessed by the Secretary by written notice. In determining the amount of such penalty, the Secretary shall take into account the nature, circumstances, extent, and gravity of the violation committed and, with respect to the person found to have committed such violation, the degree of culpability, any history of prior offenses, ability to pay, effect on ability to continue to do business, and such other matters as justice may require.

"(2) Such civil penalty may be recovered in an action brought by the Attorney General on behalf of the United States in the appropriate district court of the United States or, prior to referral to the Attorney General, such civil penalty may be compromised by the Secretary. The amount of such penalty, when finally determined (or agreed upon in compromise), may be deducted from any sums owed by the United States to the person charged. All penalties collected under this subsection shall be deposited in the Treasury of the United States as miscellaneous receipts.

"(e) Not later than one year after the date of enactment of this Act (July 1, 1980], the Secretary shall report to Congress upon the regulations issued under this section. The Secretary shall describe the various levels of financial responsibility mandated and the rationale for selecting the final limits. The Secretary shall also include an estimate of the impact of the regulations upon the safety of motor vehicle transportation, the economic condition of the motor carrier industry (including, but not limited to, small and minority motor carriers and independent owner-operators), and the ability of the insurance industry to provide the designated coverage. The Secretary shall make recommendations with respect to the need for further legislation related to levels of financial responsibility, including to what extent, if any, minimum statutory levels should be modified.

"(f) This section shall not apply to any motor vehi cle having a gross vehicle weight rating of less than ten thousand pounds, if such vehicle is not used to transport any quantity of class A or B explosives, any quantity of poison gas, or a large quantity of radioac tive materials in interstate or foreign commerce. "(g) For purposes of this section, the term

"(1) 'Interstate commerce' includes transportation between a place in a State and a place outside the United States, to the extent such transportation is in the United States;

"(2) 'Secretary' means the Secretary of Transpor tation; and

"(3) 'State' (including its use in the terms 'interstate' and 'intrastate') means a State of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, American Samoa, Guam, and the Commonwealth of the Northern Marianas."

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10922, 10923, 10924, 10925, 11708 of this title.

§ 10928. Temporary authority for motor and water

carriers

(a) Without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5, the Interstate Commerce Commission may grant a water carrier temporary authority to provide transportation to a place or in an area having, respectively, no water carrier capable of meeting the immediate needs of the place or area. Unless suspended or revoked, the Commission may grant the temporary authority for not more than 180 days. A grant of temporary authority does not establish a presumption that permanent authority to provide transportation will be granted under this subchapter.

(b)(1) Without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5, the Commission, pursuant to such regulations as the Commission may issue, may grant a motor carrier temporary authority to provide transportation to a place or in an area having no motor carrier capable of meeting the immediate needs of the place or area. Unless suspended or revoked, the Commission may grant the temporary authority for not more than 270 days. A grant of temporary authority does not establish a presumption that permanent authority to provide transportation will be granted under this subchapter.

(2) The Commission shall take final action upon an application filed under this subsection no later than 90 days after the date the applica tion is filed with the Commission.

(c)(1) Without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5, the Commission, pursuant to such regulations as the Commission may issue, may grant a motor carrier emergency temporary authority to provide transportation to a place or in an area having no motor carrier capable of meeting the immediate needs of the place or area if the Commission determines that, due to emergency conditions, there is not sufficient time to process an application for temporary authority under subsection (b) of this section. Unless suspended or revoked, the Commission may grant the emergency tempo

rary authority for not more than 30 days, and the Commission may extend such authority for a period of not more than 90 days and, in addition, in the case of a motor carrier of passengers, the Commission may extend such authority for a period of more than 90 days but not more than 180 days if no other motor carrier of passengers is providing transportation to the place or in the area. A grant of emergency temporary authority does not establish a presumption that permanent authority to provide transportation will be granted under this subchapter.

(2) The Commission shall take final action upon an application filed under this subsection not later than 15 days after the date the application is filed with the Commission.

(Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1414; Pub. L. 96-296, § 23, July 1, 1980, 94 Stat. 814; Pub. L. 97-261, § 15, Sept. 20, 1982, 96 Stat. 1114.)

The word "transportation" is substituted each place for "service" and "transportation service" for consistency and as being more precise because the jurisdictional grant to the Interstate Commerce Commission under subchapter III of chapter 105 of the revised title is jurisdiction over transportation. The words "Without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5" are substituted for "without hearings or other proceedings” as being more precise. The words "motor carrier or water carrier" are inserted before "carrier capable" for clarity. The phrase "not more than 180 days” is retained. The amendments made by sections 102 and 103 of the Act of March 27, 1942, striking the words "not to exceed 180 days" expired on March 31, 1947, and the words struck out were restored to the law, by virtue of section 1501 of the same Act, as amended (60 Stat. 345; 50 U.S.C. app. 645). The words "and urgent" are omitted as redundant. The words "place" and "area" are substituted for "point" and "territory", respectively, for consistency. The words "or points" are omitted as unnecessary. The words "in its discretion" are omitted as surplus. The words "Unless suspended or revoked" are made applicable to 49:911(a) for clarity and consistency. The words "under this subchapter" are inserted for clarity. 49:310a(c) is omitted for consistency and as being unnecessary in view of the authority of the Commission to grant the authority and the general authority of the Commission under section 10321(a) of the revised title to carry out the subtitle.

AMENDMENTS

1982-Subsec. (a). Pub. L. 97-261, § 15(1), struck out "motor carrier of passengers or" before "water carrier" wherever appearing.

Subsec. (b)(1). Pub. L. 97-261, § 15(2), struck out “of property" following "motor carrier" wherever appearing.

Subsec. (c)(1). Pub. L. 97-261, § 15(3), struck out "of property" following "motor carrier" wherever appear

ing, and added to the provisions relating to the duration of a grant of emergency temporary transportation authority further provision that in the case of a motor carrier of passengers, the Commission may extend such authority for a period of more than 90 days but not more than 180 days if no other motor carrier of passengers is providing transportation to the place or in the area.

1980-Pub. L. 96-296 designated existing provision as subsec. (a), and in subsec. (a) as so designated, inserted "of passengers" following "motor carrier" in two places, and added subsecs. (b) and (c).

EFFECTIVE DATE OF 1982 AMENDMENT

Amendment by Pub. L. 97-261 effective on the 60th day after Sept. 20, 1982, see section 31(a) of Pub. L. 97-261, set out as a note under section 10101 of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 10322, 10328 of this title.

§ 10929. Temporary authority for previously exempt water transportation

When transportation exempt from the jurisdiction of the Interstate Commerce Commission under section 10544(a)-(c) of this title becomes subject to the jurisdiction of the Commission, the water carrier may continue to provide the transportation without a certificate or permit issued under this subchapter for a period of 120 days beginning on the day the transportation becomes subject to the jurisdiction of the Commission. If the carrier applies to the Commission within that period for a certificate or permit to provide the transportation previously exempt, the Commission shall issue to the carrier the appropriate certificate or permit authorizing the transportation. The Commission shall issue each such certificate and permit without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5.

(Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1415.)

chapter, to transport property over the same route or in the same area; and

(2) if a person controls, is controlled by, or is under common control with, another person, one of them may not hold a certificate of a water common carrier, while the other holds a permit of a water contract carrier, to transport property over the same route or in the same area.

(b)(1) A person may not hold a permit of a freight forwarder issued under this subchapter if the person is a common carrier providing transportation subject to the jurisdiction of the Commission under subchapter I, II, or III of chapter 105 of this title.

(2) Except for motor vehicle transportation subject to the jurisdiction of the Commission under subchapter IV of chapter 105 of this title by section 10523(a)(2) of this title, a permit may not authorize a freight forwarder to conduct direct rail, water, or motor carrier transportation subject to the jurisdiction of the Commission under subchapter I, II, or III of that chapter.

(3) Except when the Commission finds that service to be provided as a freight forwarder is consistent with the public interest and the transportation policy of section 10101 of this title, a person may not hold a permit of a freight forwarder when

(A) the principal business of the person is manufacturing and selling, or buying and selling, or both manufacturing and selling and buying and selling articles or commodities, and the service of a freight forwarder (or similar assembling, consolidating, and shipping service is provided by the person for its own business) is commonly used to transport the articles or commodities; or

(B) the person controls, is controlled by, or is under common control with, a person referred to in clause (A) of this paragraph. (Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1415; Pub. L. 96-296, § 10(b), July 1, 1980, 94 Stat. 800.)

HISTORICAL AND REVISION NOTES

Source (Statutes at Large)

Feb. 4, 1887, ch. 104, 24 Stat. 379, 210; added Aug. 9, 1935, ch. 498, § 1, 49 Stat. 554; Sept. 18, 1940, ch. 722, §§ 16, 21(a), 54 Stat. 919, 923.

Feb. 4, 1887, ch. 104, 24 Stat. 379, 310; added Sept. 18, 1940, ch. 722, § 201, 54 Stat. 943.

Feb. 4, 1887, ch. 104, 24 Stat. 379, §§ 410(c) (2d sentence words before semicolon), (h), 411(b) (less last proviso); added May 16, 1942, ch. 318, 1, 56 Stat. 291.

In subsection (a), the words "or shall have found" are omitted as executed.

In subsection (b)(2), the words "subject to the jurisdiction of the Commission under subchapter I, II, or III of that chapter” are substituted for “is to be regulated as service subject to this chapter” for clarity and consistency.

In subsection (b)(3), the words "It shall be unlawful for", "operations are of such character that", "or forwarders", and "in connection with the transportation" are omitted as unnecessary. The words "under section 1010 of this title" and "is otherwise qualified under section 1010 of this title" are omitted in view of section 10921 of the revised title requiring a person to have a permit and satisfying the requirements for issuance of a permit under subchapter II of chapter 109 of the revised title, or else requiring the person to come within one of the exceptions, before the person can provide the service of a freight forwarder subject to Commission jurisdiction.

AMENDMENTS

1980-Subsec. (a)(1). Pub. L. 96-296, 10(b)(1), struck out "both a certificate of a motor common carrier and a permit of a motor contract carrier issued under this subchapter, or" following "may not hold".

Subsec. (a)(2). Pub. L. 96-296, § 10(b)(2), struck out provision that if a person controls, is controlled by, or is under common control with, another person, one of them could not hold a certificate of a motor common carrier, while the other holds a permit of a motor contract carrier, to transport property over the same route and in the same area.

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10922, 10923, 11702, 11708 of this title.

§ 10931. Motor common carriers providing transpor. tation entirely in one State

(a) A motor common carrier may provide transportation subject to the jurisdiction of the Interstate Commerce Commission under subchapter II of chapter 105 of this title without a certificate issued by the Commission under section 10922 of this title, when

(1) the carrier provides transportation entirely in one State;

(2) the carrier is not controlled by, controlling, or under common control with a carrier providing transportation outside the State;

(3) the carrier has applied for, and has been issued, a certificate of public convenience and necessity by the State authority having jurisdiction to issue such a certificate, permitting the carrier to provide intrastate transportation by motor vehicle; and

(4) the intrastate certificate was issued after, and the certificate states that

(A) notice was given to interested parties through publication in the Federal Register of the filing of the application by the carri er and the desire of the carrier to provide transportation otherwise under the jurisdiction of the Commission within the limits of the certificate issued by the State authority;

(B) reasonable opportunity to be heard was given; and

(C) the State authority considered and found that the public convenience and necessity require that the carrier be permitted to provide transportation under the jurisdiction of the Commission within limits that do not exceed the scope of the certifi cate issued by the State authority. (b) An interested party that opposed issuing the certificate to a motor common carrier in a proceeding before a State authority may peti

tion the Commission for reconsideration of a decision of the State authority. On reconsideration, the Commission, based on the record before the State authority, may affirm, reverse, or change that decision, but only with respect to the transportation subject to Commission jurisdiction.

(c) The Commission may require, before a motor common carrier provides transportation authorized under this section, that

(1) a certified copy of the carrier's intrastate certificate and other appropriate information be filed with the Commission; and

(2) the carrier comply with applicable requirements established by the Commission. (d)(1) The Commission shall issue a certificate of registration to a motor common carrier authorizing the carrier to provide transportation under this section. The authority granted under the certificate is subject to all other applicable provisions of this subtitle. Except as otherwise provided in this subsection and subchapter III of chapter 113 of this title, the certificate of registration may be transferred if it is transferred with the intrastate certificate. Transfer of the intrastate certificate without the certificate of registration revokes the certificate of registration.

(2) The certificate of registration issued by the Commission is valid as long as the motor common carrier provides transportation entirely in the State from which it received its intrastate certificate and is not controlled by, controlling, or under common control with, a carrier providing transportation outside the State.

(e)(1) On the 180th day after the termination, restriction in scope, or suspension of the intrastate certificate, the authority granted under this section to provide transportation is revoked or likewise restricted unless the intrastate certificate is renewed or reissued or the restriction is removed by that 180th day.

(2) Transportation authorized under this section may be suspended or revoked by the Commission under section 10925 of this title. (Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1416.) HISTORICAL AND REVISION NOTES

thority" is substituted for "commission" for consistency and to distinguish from "Commission". The word "permitting" is substituted for "authorizing" for consistency and to avoid confusion with the term "State authority".

In subsection (a), the words "On and after October 15, 1962" are omitted as executed. The words "interested parties" are substituted for "interested persons" for consistency and as being more precise. The words "duly" and "the question of the proposed interstate and foreign operations" are omitted as unnecessary.

In subsection (b), the words "In accordance with such reasonable rules as may be prescribed by the Commission" are omitted as unnecessary in view of section 10321(a) of the revised title giving the Commission general authority to carry out the subtitle and to prescribe regulations.

In subsection (c), the word "information" is substituted for "statements and data" to eliminate redundancy.

In subsection (d), the words "and the regulations prescribed hereunder" and "pursuant to such rules and regulations as may be prescribed by the Commission" are omitted as unnecessary in view of section 10321(a) of the revised title giving the Commission general authority to carry out the subtitle and to prescribe regulations. The words "otherwise provided in this subsection" are substituted for "in the conditions and limitations stated herein" as being more precise. The word "revokes" is substituted for "shall terminate" for consistency.

1 subsection (e), the word "revoked", with respect to Commission action, is substituted for "terminated" for consistency. The words "under section 10925 of this title" are substituted for "in accordance with the provisions of this Act governing the suspension and termination of certificates issued by the Commission" for clarity.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 11708 of this title.

§ 10932. Motor carrier savings provisions

(a) Except as specifically provided in a certificate or permit, the holder of a motor carrier certificate or permit issued as the result of an application filed before September 2, 1950, authorizing the carrier to provide transportation in the United States or between the United States and a foreign country (to the extent the transportation is in the United States), may provide the transportation between a place in the United States and a place in a territory or possession of the United States

(1) without being authorized to do so by the Interstate Commerce Commission; and

(2) to the same extent and subject to the same conditions of the certificate or permit of the carrier.

(b)(1) A motor common carrier providing transportation under an intrastate certificate issued by a State and under a certificate of registration issued by the Commission under section 206(a)(7) of the Interstate Commerce Act (76 Stat. 912) that has been in effect since October 15, 1962, may continue to provide transportation otherwise subject to the jurisdiction of the Commission under subchapter II of chapter 105 of this title

(A) if the certificate of the State authorizing intrastate transportation is limited to a specified period of time, only for that period;