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49 U.S.C. § 32903 — Credits for exceeding average fuel economy standards

Federal law — U.S. Code and appendices · legal_authorities

49 U.S.C. § 32903 — Credits for exceeding average fuel economy standards

**(a) Earning and Period for Applying Credits.—** When the average fuel economy of passenger automobiles manufactured by a manufacturer in a particular model year exceeds an applicable average fuel economy standard under subsections (a) through (d) of section 32902 (determined by the Secretary of Transportation without regard to credits under this section), the manufacturer earns credits. The credits may be applied to— (1) any of the 3 consecutive model years immediately before the model year for which the credits are earned; and (2) to the extent not used under paragraph (1) 11 So in original. Probably should be followed by a comma. any of the 5 consecutive model years immediately after the model year for which the credits are earned. **(b) Period of Availability and Plan for Future Credits.—** (1) Except as provided in paragraph (2) of this subsection, credits under this section are available to a manufacturer at the end of the model year in which earned. (2) (A) Before the end of a model year, if a manufacturer has reason to believe that its average fuel economy for passenger automobiles will be less than the applicable standard for that model year, the manufacturer may submit a plan to the Secretary of Transportation demonstrating that the manufacturer will earn sufficient credits under this section within the next 3 model years to allow the manufacturer to meet that standard for the model year involved. Unless the Secretary finds that the manufacturer is unlikely to earn sufficient credits under the plan, the Secretary shall approve the plan. Those credits are available for the model year involved if— (i) the Secretary approves the plan; and (ii) the manufacturer earns those credits as provided by the plan. (B) If the average fuel economy of a

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Stable record: federal_law:legal_authorities:record_usc_56cd158e9bc466635240848d
Source file: Laws/federal/codes/united-states-code/title-49/section-32903-credits-for-exceeding-average-fuel-economy-standards--d2b54d487f.md
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Source location: Title 49, Chapter 329, § 32903; chapter-329-automobile-fuel-economy.md

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**(a) Earning and Period for Applying Credits.—** When the average fuel economy of passenger automobiles manufactured by a manufacturer in a particular model year exceeds an applicable average fuel economy standard under subsections (a) through (d) of section 32902 (determined by the Secretary of Transportation without regard to credits under this section), the manufacturer earns credits. The credits may be applied to— (1) any of the 3 consecutive model years immediately before the model year for which the credits are earned; and (2) to the extent not used under paragraph (1) 11 So in original. Probably should be followed by a comma. any of the 5 consecutive model years immediately after the model year for which the credits are earned. **(b) Period of Availability and Plan for Future Credits.—** (1) Except as provided in paragraph (2) of this subsection, credits under this section are available to a manufacturer at the end of the model year in which earned. (2) (A) Before the end of a model year, if a manufacturer has reason to believe that its average fuel economy for passenger automobiles will be less than the applicable standard for that model year, the manufacturer may submit a plan to the Secretary of Transportation demonstrating that the manufacturer will earn sufficient credits under this section within the next 3 model years to allow the manufacturer to meet that standard for the model year involved. Unless the Secretary finds that the manufacturer is unlikely to earn sufficient credits under the plan, the Secretary shall approve the plan. Those credits are available for the model year involved if— (i) the Secretary approves the plan; and (ii) the manufacturer earns those credits as provided by the plan. (B) If the average fuel economy of a manufacturer is less than the applicable standard under subsections (a) through (d) of section 32902 after applying credits under subsection (a)(1) of this section, the Secretary of Transportation shall notify the manufacturer and give the manufacturer a reasonable time (of at least 60 days) to submit a plan. **(c) Determining Number of Credits.—** The number of credits a manufacturer earns under this section equals the product of— (1) the number of tenths of a mile a gallon by which the average fuel economy of the passenger automobiles manufactured by the manufacturer in the model year in which the credits are earned exceeds the applicable average fuel economy standard under subsections (a) through (d) of section 32902; times (2) the number of passenger automobiles manufactured by the manufacturer during that model year. **(d) Applying Credits for Passenger Automobiles.—** The Secretary of Transportation shall apply credits to a model year on the basis of the number of tenths of a mile a gallon by which the manufacturer involved was below the applicable average fuel economy standard for that model year and the number of passenger automobiles manufactured that model year by the manufacturer. Credits applied to a model year are no longer available for another model year. Before applying credits, the Secretary shall give the manufacturer written notice and reasonable opportunity to comment. **(e) Applying Credits for Non-Passenger Automobiles.—** Credits for a manufacturer of automobiles that are not passenger automobiles are earned and applied to a model year in which the average fuel economy of that class of automobiles is below the applicable average fuel economy standard under [section 32902(a) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section32902/a&num=0&edition=prelim), to the same extent and in the same way as provided in this section for passenger automobiles. **(f) Credit Trading Among Manufacturers.—** (1) **In general.—** — The Secretary of Transportation may establish, by regulation, a fuel economy credit trading program to allow manufacturers whose automobiles exceed the average fuel economy standards prescribed under section 32902 to earn credits to be sold to manufacturers whose automobiles fail to achieve the prescribed standards such that the total oil savings associated with manufacturers that exceed the prescribed standards are preserved when trading credits to manufacturers that fail to achieve the prescribed standards. (2) **Limitation.—** — The trading of credits by a manufacturer to the category of passenger automobiles manufactured domestically is limited to the extent that the fuel economy level of such automobiles shall comply with the requirements of section 32902(b)(4), without regard to any trading of credits from other manufacturers. **(g) Credit Transferring Within a Manufacturer’s Fleet.—** (1) **In general.—** — The Secretary of Transportation shall establish by regulation a fuel economy credit transferring program to allow any manufacturer whose automobiles exceed any of the average fuel economy standards prescribed under section 32902 to transfer the credits earned under this section and to apply such credits within that manufacturer’s fleet to a compliance category of automobiles that fails to achieve the prescribed standards. (2) **Years for which used.—** — Credits transferred under this subsection are available to be used in the same model years that the manufacturer could have applied such credits under subsections (a), (b), (d), and (e), as well as for the model year in which the manufacturer earned such credits. (3) **Maximum increase.—** — The maximum increase in any compliance category attributable to transferred credits is— (A) for model years 2011 through 2013, 1.0 mile per gallon; (B) for model years 2014 through 2017, 1.5 miles per gallon; and (C) for model year 2018 and subsequent model years, 2.0 miles per gallon. (4) **Limitation.—** — The transfer of credits by a manufacturer to the category of passenger automobiles manufactured domestically is limited to the extent that the fuel economy level of such automobiles shall comply with the requirements under section 32904(b)(4), without regard to any transfer of credits from other categories of automobiles described in paragraph (6)(B). (5) **Years available.—** — A credit may be transferred under this subsection only if it is earned after model year 2010. (6) **Definitions.—** — In this subsection: (A) *Fleet.—* — The term “fleet” means all automobiles manufactured by a manufacturer in a particular model year. (B) *Compliance category of automobiles.—* — The term “compliance category of automobiles” means any of the following 3 categories of automobiles for which compliance is separately calculated under this chapter: (i) Passenger automobiles manufactured domestically. (ii) Passenger automobiles not manufactured domestically. (iii) Non-passenger automobiles. **(h) Refund of Collected Penalty.—** When a civil penalty has been collected under this chapter from a manufacturer that has earned credits under this section, the Secretary of the Treasury shall refund to the manufacturer the amount of the penalty to the extent the penalty is attributable to credits available under this section.

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Federal law — U.S. Code and appendices · legal_authorities

2 U.S.C. § 1824 — Energy and environmental measures in Capitol Complex Master Plan

**(a) In general** To the maximum extent practicable, the Architect of the Capitol shall include energy efficiency and conservation measures, greenhouse gas emission reduction measures, and other appropriate environmental measures in the Capitol Complex Master Plan. **(b) Report** Not later than 6 months after December 19, 2007, the Architect of the Capitol shall submit to the Committee on Transportation and Infrastructure of the House of Representatives and the Committee on Rules and Administration of the Senate, a report on the energy efficiency and conservation measures, greenhouse gas emission reduction measures, and other appropriate environmental measures included in the Capitol Complex Master Plan pursuant to subsection (a).

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Federal law — U.S. Code and appendices · legal_authorities

49 U.S.C. § 32902 — Average fuel economy standards

**(a) Prescription of Standards by Regulation.—** At least 18 months before the beginning of each model year, the Secretary of Transportation shall prescribe by regulation average fuel economy standards for automobiles manufactured by a manufacturer in that model year. Each standard shall be the maximum feasible average fuel economy level that the Secretary decides the manufacturers can achieve in that model year. **(b) Standards for Automobiles and Certain Other Vehicles.—** (1) **In general.—** — The Secretary of Transportation, after consultation with the Secretary of Energy and the Administrator of the Environmental Protection Agency, shall prescribe separate average fuel economy standards for— (A) passenger automobiles manufactured by manufacturers in each model year beginning with model year 2011 in accordance with this subsection; (B) non-passenger automobiles manufactured by manufacturers in each model year beginning with model year 2011 in accordance with this subsection; and (C) work trucks and commercial medium-duty or heavy-duty on-highway vehicles in accordance with subsection (k). (2) **Fuel economy standards for automobiles.—** (A) *Automobile fuel economy average for model years 2011 through 2020.—* — The Secretary shall prescribe a separate average fuel economy standard for passenger automobiles and a separate average fuel economy standard for non-passenger automobiles for each model year beginning with model year 2011 to achieve a combined fuel economy average for model year 2020 of at least 35 miles per gallon for the total fleet of passenger and non-passenger automobiles manufactured for sale in the United States for that model year. (B) *Automobile fuel economy average for model years 2021 through 2030.—* — For model years 2021 thr

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Federal law — U.S. Code and appendices · legal_authorities

49 U.S.C. § 32911 — Compliance

**(a) General.—** A person commits a violation if the person fails to comply with this chapter and regulations and standards prescribed and orders issued under this chapter (except sections 32902, 32903, 32908(b), 32917(b), and 32918 and regulations and standards prescribed and orders issued under those sections). The Secretary of Transportation shall conduct a proceeding, with an opportunity for a hearing on the record, to decide whether a person has committed a violation. Any interested person may participate in a proceeding under this subsection. **(b) Automobile Manufacturers.—** A manufacturer of automobiles commits a violation if the manufacturer fails to comply with an applicable average fuel economy standard under [section 32902 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section32902&num=0&edition=prelim). Compliance is determined after considering credits available to the manufacturer under [section 32903 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section32903&num=0&edition=prelim). If average fuel economy calculations under [section 32904(c) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section32904/c&num=0&edition=prelim) indicate that a manufacturer has violated this subsection, the Secretary shall conduct a proceeding, with an opportunity for a hearing on the record, to decide whether a violation has been committed. The Secretary may not conduct the proceeding if further measurements of fuel economy, further calculations of average fuel economy, or other information indicates a violation has not been committed. The results of the measurements and calculations and the information shall be published in the Federal Register. Any interested p

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Federal law — U.S. Code and appendices · legal_authorities

49 U.S.C. § 32912 — Civil penalties

**(a) General Penalty.—** A person that violates [section 32911(a) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section32911/a&num=0&edition=prelim) is liable to the United States Government for a civil penalty of not more than $10,000 for each violation. A separate violation occurs for each day the violation continues. **(b) Penalty for Manufacturer Violations of Fuel Economy Standards.—** Except as provided in subsection (c) of this section, a manufacturer that violates a standard prescribed for a model year under [section 32902 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section32902&num=0&edition=prelim) is liable to the Government for a civil penalty of $0.00 multiplied by each .1 of a mile a gallon by which the applicable average fuel economy standard under that section exceeds the average fuel economy— (1) calculated under section 32904(a)(1)(A) or (B) of this title for automobiles to which the standard applies manufactured by the manufacturer during the model year; (2) multiplied by the number of those automobiles; and (3) reduced by the credits available to the manufacturer under [section 32903 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section32903&num=0&edition=prelim) for the model year. **(c) Higher Penalty Amounts.—** (1) (A) The Secretary of Transportation shall prescribe by regulation a higher amount for each .1 of a mile a gallon to be used in calculating a civil penalty under subsection (b) of this section, if the Secretary decides that the increase in the penalty— (i) will result in, or substantially further, substantial energy conservation for automobiles in model years in which the increased penalty may be imposed; an

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Federal law — U.S. Code and appendices · legal_authorities

49 U.S.C. § 32903 — Credits for exceeding average fuel econ-

Page 964 TITLE 49—TRANSPORTATION § 32903 1 So in original. Probably should be followed by a comma. percent and increase their fuel efficiency by as much as 25 percent with the use of existing technologies; (b) Include fuel efficiency and greenhouse gas emis- sions standards that take into account the market structure of the trucking industry and the unique de- mands of heavy-duty vehicle applications; seek harmo- nization with applicable State standards; consider the findings and recommendations published in the Na- tional Academy of Science report on medium- and heavy-duty truck regulation; strengthen the industry and enhance job creation in the United States; and (c) Seek input from all stakeholders, while recog- nizing the continued leadership role of California and other States. SEC. 2. Passenger Cars and Light-Duty Trucks. Building on the earlier joint rulemaking, and in order to provide greater certainty and incentives for long- term innovation by automobile and light-duty vehicle manufacturers, I request that the Administrators of the EPA and the NHTSA develop, through notice and comment rulemaking, a coordinated national program under the CAA and the EISA to improve fuel efficiency and to reduce greenhouse gas emissions of passenger cars and light-duty trucks of model years 2017–2025. The national program should seek to produce joint Federal standards that are harmonized with applicable State standards, with the goal of ensuring that automobile manufacturers will be able to build a single, light-duty national fleet. The program should also seek to achieve substantial annual progress in reducing transportation sector greenhouse gas emissions and fossil fuel con- sumption, consistent with my Administration’s overall energy and climate secu

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