[Federal Register Volume 87, Number 80 (Tuesday, April 26, 2022)]
[Rules and Regulations]
[Pages 24431-24454]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-08808]


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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

49 CFR Parts 371 and 375

[Docket No. FMCSA-2020-0205]
RIN 2126-AC35


Implementation of Household Goods Working Group Recommendations

AGENCY: Federal Motor Carrier Safety Administration (FMCSA), Department 
of Transportation (DOT).

ACTION: Final rule.

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SUMMARY: FMCSA amends the Transportation of Household Goods regulations 
to incorporate recommendations from the Household Goods Consumer 
Protection Working Group (Working Group) contained in the 
Recommendations to the U.S. Department of Transportation to Improve 
Household Goods Consumer Education, Simplify and Reduce Paperwork, and 
Condense FMCSA Publication ESA 03005 (Recommendations Report). The 
Agency amends the regulations to reflect those aspects of the 
Recommendations Report which require a rulemaking to implement and are 
within the Agency's authority. The Agency is also making additional 
minor changes to the Transportation of Household Goods regulations and 
the Brokers of Property regulations which are intended to increase 
clarity and consistency. The updates will result in an aggregate 
reduction in costs for household goods motor carriers and provide 
clarity for individual shippers.

DATES: This final rule is effective June 27, 2022.
    The guidance documents published at 76 FR 50537, Aug. 15, 2011, and 
78 FR 25782, May 2, 2013, are rescinded as of June 27, 2022.
    Comments on the information collection must be received on or 
before May 26, 2022.
    Petitions for Reconsideration of this final rule must be submitted 
to the FMCSA Administrator no later than May 26, 2022.

FOR FURTHER INFORMATION CONTACT: Ms. Monique Riddick, Commercial 
Enforcement Division, Office of Safety, FMCSA, 1200 New Jersey Avenue 
SE, Washington, DC 20590-0001; (202) 366-0073; [email protected].

SUPPLEMENTARY INFORMATION: This final rule is organized as follows:

I. Availability of Rulemaking Documents
II. Comments on the Information Collection
III. Executive Summary
    A. Purpose of the Amendments
    B. Summary of the Major Provisions
    C. Costs and Benefits
IV. Abbreviations
V. Legal Basis
VI. Discussion of Proposed Rulemaking and Comments
VII. Changes from the NPRM
VIII. Section-by-Section Analysis
IX. Regulatory Analyses
    A. E.O. 12866 (Regulatory Planning and Review), E.O. 13563 
(Improving Regulation and Regulatory Review), and DOT Regulatory 
Policies and Procedures
    B. Congressional Review Act
    C. Regulatory Flexibility Act (Small Entities)
    D. Assistance for Small Entities
    E. Unfunded Mandates Reform Act of 1995
    F. Paperwork Reduction Act
    G. E.O. 13132 (Federalism)
    H. Privacy
    I. E.O. 13175 (Indian Tribal Governments)
    J. National Environmental Policy Act of 1969

I. Availability of Rulemaking Documents

    To view any documents mentioned as being available in the docket, 
go to https://www.regulations.gov/docket/FMCSA-2020-0205/document and 
choose the document to review. To view comments, click this final rule, 
then click ``Browse Comments.'' If you do not have access to the 
internet, you may view the docket online by visiting Dockets Operations 
at U.S. Department of Transportation, Room W12-140, 1200 New Jersey 
Avenue SE, Washington, DC 20590-0001, between 9 a.m. and 5 p.m., Monday 
through Friday, except Federal holidays. To be sure someone is there to 
help you, please call (202) 366-9317 or (202) 366-9826 before visiting 
Dockets Operations.

[[Page 24432]]

II. Comments on the Information Collection

    Written comments and recommendations for the information collection 
discussed in this final rule should be sent within 30 days of 
publication to www.reginfo.gov/public/do/PRAMain. Find this information 
collection by clicking the link that reads ``Currently under Review--
Open for Public Comments'' or by entering OMB control number 2126-0025 
in the search bar and clicking on the last entry to reach the 
``comment'' button.

III. Executive Summary

A. Purpose of the Amendments

    FMCSA incorporates certain recommendations from the Working Group's 
Recommendations Report into the regulations at 49 CFR part 375 and 
makes additional minor changes to the regulations in 49 CFR parts 371 
and 375. These changes will streamline documentation requirements, 
increase efficiency for the transportation of household goods by 
interstate household goods motor carriers improve consumer education 
and protection for individual shippers, and combat fraud. The Working 
Group was established and provided recommendations pursuant to section 
5503 of the Fixing America's Surface Transportation Act (FAST Act), 
Public Law 114-94, 129 Stat. 1312, 1551 (Dec. 4, 2015).

B. Summary of the Major Provisions

    This rule implements 10 of the Working Group's 11 recommendations 
that require a rulemaking.\1\ These recommendations update a variety of 
regulatory requirements under 49 CFR part 375. This final rule 
implements the recommendations to revise appendix A to part 375 with an 
updated version of the Your Rights and Responsibilities When You Move 
booklet (Rights and Responsibilities) and to require motor carriers to 
provide the Rights and Responsibilities booklet at the same time as the 
estimate instead of at the time of the order for service, as previously 
required.
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    \1\ The Recommendations Report contained 19 recommendations, but 
only 11 of those recommendations require a rulemaking. As discussed 
in the notice of proposed rulemaking (NPRM), FMCSA is not 
implementing recommendation 15 from the Recommendations Report. 
Recommendation 15 from the Recommendations Report suggested that 
FMCSA require movers to provide FMCSA publication ESA 03005 (Ready 
to Move?) when the physical survey is either scheduled or waived by 
the consumer. FMCSA did not include that recommendation in the NPRM 
because it exceeds the Agency's statutory authority (86 FR 43822, 
Aug. 10, 2021).
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    This rule also implements the recommendation to require the 
preparation of a new binding estimate or new non-binding estimate when 
the individual shipper tenders additional items or requests additional 
services. This incorporates into the regulations certain provisions 
from the FMCSA guidance titled Regulatory Guidance Concerning Household 
Goods Carriers Requiring Shippers To Sign Blank or Incomplete Documents 
(76 FR 50537, Aug. 15, 2011) (2011 guidance). FMCSA is also 
incorporating other provisions from the 2011 guidance that clarify that 
an individual shipper may never be required to sign a blank document, 
and that the shipper may be required to sign an incomplete document 
only when it is missing certain information that cannot be determined 
before the document must be signed.
    The other Working Group recommendations being implemented in this 
final rule include: Allowing for virtual surveys of household goods; 
requiring motor carriers to conduct surveys beyond a 50-mile radius; 
removing the requirement for an order for service; updating the 
requirements in the bill of lading; requiring the bill of lading to be 
provided earlier in the moving process; replacing the requirement for a 
freight bill with an invoice; and requiring all motor carriers that 
have a website to display prominently a link to either Ready to Move? 
on the FMCSA website or to a true and accurate copy of Ready to Move? 
on their own websites. In addition to implementing the Working Group's 
recommendations, FMCSA is making additional minor changes to the 
regulations in 49 CFR parts 371 and 375 which are intended to increase 
clarity and consistency. The recommendations and changes made in this 
rulemaking are discussed in greater detail in the NPRM (86 FR 43818, 
Aug. 10, 2021).

C. Costs and Benefits

    This final rule affects household goods motor carriers and 
individual shippers. Some provisions in this rule will result in costs 
for motor carriers (i.e., providing the Rights and Responsibilities 
booklet earlier in the process, and providing either in-person or 
virtual surveys at locations beyond 50 miles from the motor carrier 
agent's location), and some provisions will result in negative costs, 
or cost savings (i.e., allowing virtual surveys in place of in-person 
surveys, and eliminating the order for service document by including 
its information in the bill of lading). The motor carrier efficiencies 
discussed will not negatively impact shippers, as the services and 
information received today would not change under the final rule. FMCSA 
does not anticipate that shippers will incur costs as a result of this 
final rule. FMCSA estimates the total 10-year costs of this rule at -
$1.6 million (or $1.6 million in cost savings) discounted at 3 percent, 
and -$1.3 million (or $1.3 million in cost savings) discounted at 7 
percent. Expressed on an annualized basis, this equates to -$188,000 in 
costs (or $188,000 in cost savings) at both a 3 and 7 percent discount 
rate.
    FMCSA does not expect this rule to impact safety. FMCSA does expect 
that it will result in benefits related to consumer protection and 
potentially motor carrier fuel savings. The final rule will result in 
shippers receiving accurate and clear information earlier in the 
process, enabling them to make more informed and better decisions 
regarding which household goods motor carrier to hire. Additionally, 
the final rule will aid in obtaining more accurate estimates of moving 
fees based on physical surveys for those interstate moves that are 
beyond 50 miles from a motor carrier agent's location.

IV. Abbreviations

AMSA American Moving and Storage Association
ATA American Trucking Associations
ATRI American Transportation Research Institute
CAGR Compound Average Growth rate
CE Categorical Exclusion
CFR Code of Federal Regulations
DOT Department of Transportation
E.O. Executive Order
FAST Act Fixing America's Surface Transportation Act
FMCSA Federal Motor Carrier Safety Administration
FOIA Freedom of Information Act
FR Federal Register
HHG Household goods
ICC Interstate Commerce Commission
MAP-21 Moving Ahead for Progress in the 21st Century Act
MCSAP Motor Carrier Safety Assistance Program
NAICS North American Industry Classification System
OMB Office of Management and Budget
PIA Privacy Impact Assessment
PII Personally Identifiable Information
PTA Privacy Threshold Assessment
RFA Regulatory Flexibility Act
SAFETEA-LU Safe, Accountable, Flexible, Efficient Transportation 
Equity Act: A Legacy for Users
SBA Small Business Association
SBREFA Small Business Regulatory Enforcement Fairness Act of 1996
Secretary Secretary of Transportation
STB Surface Transportation Board
U.S.C. United States Code

V. Legal Basis for the Rulemaking

    The purpose of this rulemaking is to amend in the regulations in 49 
CFR parts 371 and 375 applicable to the transportation of household 
goods for

[[Page 24433]]

individual shippers in interstate commerce. Most of the changes involve 
FMCSA's implementation of the recommendations of the Working Group, 
which was established pursuant to section 5503 of the FAST Act, Public 
Law 114-94, 129 Stat. 1312, 1551 (Dec. 4, 2015). Additional changes are 
being made by FMCSA to update provisions in part 375 and its appendix 
A.
    FMCSA's authority to provide protection for individual shippers of 
household goods is found in several sections of 49 U.S.C. subtitle IV, 
part B. The sections primarily involved in this rulemaking are 49 
U.S.C. 13704, 13707, and 14104. They govern guaranteed service and 
charges for transportation, payment of rates, and surveys, estimates, 
and weighing of shipments, respectively. The Secretary of 
Transportation (the Secretary) has specific authority to issue 
regulations, including regulations protecting individual shippers, in 
order to carry out 49 U.S.C. subtitle IV, part B with respect to the 
transportation of household goods by motor carriers (49 U.S.C. 
14104(a)). The Secretary also has broad authority to prescribe 
regulations to carry out 49 U.S.C. subtitle IV, part B. 49 U.S.C. 
13301(a). This authority has been delegated by the Secretary to FMCSA 
(49 CFR 1.87(a)).

VI. Discussion of Proposed Rulemaking and Comments

A. Proposed Rulemaking

    On August 10, 2021, FMCSA published in the Federal Register (Docket 
No. FMCSA-2020-0205, 86 FR 43814) an NPRM titled ``Implementation of 
Household Goods Working Group Recommendations.'' The NPRM proposed to 
revise 49 CFR part 375 to implement the 10 recommendations contained in 
the Recommendations Report that required a rulemaking and FMCSA had 
authority to implement. In addition to proposing to implement the 
Working Group's recommendations, FMCSA proposed additional minor 
changes to the regulations which are intended to increase clarity and 
consistency. The proposed changes affected multiple sections of 49 CFR 
parts 371 and 375 and are discussed in detail in the NPRM (86 FR 
43818).
    Issuance of the NPRM and this final rule satisfies the requirements 
of Section 23013 of the Infrastructure Investment and Jobs Act, Public 
Law 117-58, 135 Stat. 429 (H.R. 3684, Nov. 15, 2021) (IIJA). Section 
23013(b) directed the Agency within 1 year after the date of enactment 
to ``issue a notice of proposed rulemaking to amend, as the Secretary 
determines to be appropriate, regulations relating to the interstate 
transportation of household goods.'' Because FMCSA issued an NPRM 
satisfying all the subsequent statutory requirements before the 
enactment of the IIJA, it is not necessary to issue a new NPRM. Section 
23013(c)(1)-(7) directed the Secretary to consider, in the NPRM 
required by paragraph (b), amendments to the regulations in 49 CFR part 
375 in accordance with several recommendations set out in the statute. 
All seven of the recommendations listed in the statute in paragraph (c) 
were among the recommendations made by the Working Group's 
Recommendations Report. They were set out in the NPRM, public comment 
was sought, and the agency considered the amendments recommended. In 
some cases, as explained in this preamble and final rule, the 
recommendations were appropriately modified either to conform to the 
controlling statutory language or for policy reasons.
    FMCSA is rescinding the guidance documents titled Guidance on 
FMCSA's Publication: Your Rights and Responsibilities When You Move (78 
FR 25782, May 2, 2013) and Regulatory Guidance Concerning Household 
Goods Carriers Requiring Shippers To Sign Blank or Incomplete Documents 
(76 FR 50537, Aug. 15, 2011) for the reasons discussed in the NPRM (86 
FR 43818-19). The rescission will take effect on the effective date of 
this final rule.

B. Comments and Responses

    FMCSA solicited comments concerning the NPRM for 60 days ending 
October 12, 2021. By that date, four comments were received from the 
following parties: American Trucking Associations, Inc. Moving and 
Storage Conference; International Association of Movers; MoveRescue/
Mayflower Transit LLC (Mayflower)/United Van Lines LLC (United); and 
one private citizen.
    All commenters were generally supportive of the NPRM.
    The Moving and Storage Conference and MoveRescue/Mayflower/United 
stated that the Rights and Responsibilities booklet and appendix A to 
part 375 can be further condensed and streamlined to reduce the length 
of the booklet and remove information that is not relevant for 
consumers. MoveRescue/Mayflower/United stated that the proposed 
requirement for motor carriers that have a website to display 
prominently either a link to the Ready to Move? document on the FMCSA 
website or a true and accurate copy of that document on their own 
websites should also apply to brokers.
    The Moving and Storage Conference and MoveRescue/Mayflower/United 
stated the proposed update to the definition of physical survey to 
include live video surveys was too limited. These commenters stated 
that the Working Group did not have a requirement for live video in 
their recommendations to FMCSA and FMCSA should revise the definition 
to reflect the Working Group's initial recommendation for a definition 
of visual survey and to allow for pre-recorded visual surveys that 
allow for follow-up discussion between the mover and customer. 
MoveRescue/Mayflower/United stated that FMCSA should add a definition 
of physical survey to 49 CFR 371.103 that mirrors the definition in 
Sec.  375.103 to ensure consistency between the requirements for motor 
carriers and brokers.
    The Moving and Storage Conference and MoveRescue/Mayflower/United 
stated that FMCSA should remove the requirement that the bill of lading 
include information about additional motor carriers involved in the 
move. These commenters explained that this change would remove 
confusion about who is actually performing the move and whom to contact 
with complaints. These commenters also stated that there is confusion 
about who is a broker and who is a mover and that removing the 
additional motor carriers' information from the bill of lading and 
issuing clear guidance on what a household goods broker is would 
eliminate this confusion.
    The Moving and Storage Conference and MoveRescue/Mayflower/United 
stated that there should be an exception to the requirement to provide 
the bill of lading 3 days prior to the move in a situation where the 
move is scheduled less than 3 days in advance.
    MoveRescue/Mayflower/United stated that the proposed revision to 
Sec.  375.403(a)(6)(ii) requiring shippers to ``maintain a record of 
the date, time, and manner that the new [binding] estimate was 
prepared'' should also be added to Sec.  375.405(b)(7)(ii) for 
consistency between binding and nonbinding estimates. MoveRescue/
Mayflower/United also stated that Sec. Sec.  375.403 and 375.405 should 
be revised to distinguish between changes requested before loading 
commences and those requested after loading commences. The commenters 
questioned whether Sec.  375.403(a)(9) should be revised to explicitly 
state that its provisions apply after loading has commenced and if 
similar revisions should be made to Sec. Sec.  375.403(a)(8) and 
375.405(b)(9) and (10) to distinguish between those requirements 
necessary prior to loading

[[Page 24434]]

and those necessary after loading commences.
    One private citizen stated that the requirement to prepare a new 
estimate every time there is a change could result in mistakes stemming 
from constant preparation of new documents. The commenter stated that 
allowing revisions on one estimate would reduce this risk and 
questioned whether there are policies in place to maintain oversight of 
requests for new estimates.
    MoveRescue/Mayflower/United questioned whether the Agency's 
proposal to replace a freight bill with an invoice was inconsistent 
with the Working Group's recommendations. These commenters stated that 
the requirements would be the same, and only the title of the document 
would change.
    MoveRescue/Mayflower/United stated that any remaining requirement 
that the motor carrier receive a consumer's written agreement to 
receive electronic documents should be removed and requested that FMCSA 
complete a further review of the regulations in part 375 to remove any 
additional requirements that prevent use of electronic documents.
FMCSA Response
    The Rights and Responsibilities booklet and appendix A to part 375 
have already been significantly condensed due to the edits made in 
preparing the NPRM. Commenters requesting further edits to the booklet 
and appendix did not provide specific recommendations on how to further 
condense the material. Accordingly, FMCSA is not making further 
revisions to the Rights and Responsibilities booklet or appendix A to 
part 375 in this final rule.
    FMCSA is updating the requirements in 49 CFR 371.111 in response to 
the comment from MoveRescue, Mayflower, and United recommending that 
brokers with a website be required to display prominently either a link 
to the Ready to Move? document on the FMCSA website or a true and 
accurate copy of that document. The Agency adds a new paragraph (e) to 
Sec.  371.111 which mirrors the language in Sec.  375.213(e). This 
change ensures that individual shippers have the same opportunity to 
access to the Ready to Move? document through the websites of brokers 
and motor carriers.
    In response to commenters stating that the live video requirement 
in the proposed definition of physical survey would be too limited, 
FMCSA revises the definition in this final rule. The definition is 
revised to allow for either live or pre-recorded video. As discussed in 
the NPRM (86 FR 43819-21), the intention behind the live video 
component was to allow the individual shipper and motor carrier to 
interact and address any questions regarding the household goods to be 
moved in a way that is similar to how an in-person survey would be 
conducted. Therefore, any physical survey that utilizes pre-recorded 
video should include an opportunity for follow-up to address any 
questions about the goods to be moved to ensure that the prepared 
estimate is as accurate as one that would be prepared following an in-
person physical survey. FMCSA also adds a definition of physical survey 
to Sec.  371.103 referencing the definition in Sec.  375.103, in 
response to commenters stating that the definition should be 
incorporated into part 371 to ensure consistency between the 
requirements for motor carriers and brokers.
    Retaining the requirement for the bill of lading to include the 
information about additional motor carriers involved in the move 
provides the individual shipper with information that is necessary to 
understand which motor carriers are involved in the shipment of their 
household goods. This information also allows individual shippers to 
know the identity of the motor carrier they may bring a legal action 
against in the event of damage to, delay of, or loss of the shipment, 
since they may bring a civil suit to hold liable any motor carrier 
involved in a move that causes such loss, delay, or damage to the 
shipment (49 U.S.C. 14706(a)(1) and (d)). For these reasons, FMCSA 
finalizes the updates to the bill of lading requirements as proposed.
    At this time, FMCSA finds that the requirement to provide the bill 
of lading 3 days prior to the move does not need an exception in a 
situation where the move is scheduled less than 3 days in advance. 
Interstate moves are very rarely scheduled within 3 days of the move 
date, and an exception from the 3-day requirement may allow for bad 
faith efforts to get around the requirement altogether.
    FMCSA agrees with the comment that the language in Sec.  
375.403(a)(6)(ii) stating, ``You should maintain a record of the date, 
time, and manner that the new estimate was prepared'' should also be 
added to Sec.  375.405(b)(7)(ii) for consistency between binding and 
nonbinding estimates and makes that change in this final rule.
    FMCSA finds that Sec. Sec.  375.403 and 375.405 are clear and do 
not need to be revised to distinguish between changes requested before 
loading commences and those requested after loading commences. Sections 
375.403(a)(8) and (9) and 375.405(b)(9) and (10) apply to additional 
services after the bill of lading has been issued.
    FMCSA does not believe there is any increased risk of mistakes 
being made when preparing a new estimate instead of revising an 
estimate. It is still the responsibility of both the motor carrier and 
the individual shipper to verify that the new estimate is accurate 
before signing it.
    FMCSA is implementing recommendation 12 from the Working Group 
which requests that FMCSA replace the term ``freight bill'' in 49 CFR 
part 375, subpart G, with the term ``invoice.'' The Working Group did 
not detail any other changes to the requirements of subpart G be made 
with respect to this recommendation.
    As stated in the NPRM (86 FR 43819), in a separate rulemaking FMCSA 
has already removed requirements that a motor carrier obtain a 
consumer's written agreement to receive electronic documents. This 
rulemaking removes the remaining related requirement in 49 CFR part 375 
by no longer requiring that a motor carrier obtain a waiver to send 
electronic consumer protection documents to an individual shipper under 
Sec.  375.213.

VII. Changes From the NPRM

    The Agency is making four changes to this final rule from the NPRM, 
in response to the comments. First, the Agency adds a definition of 
physical survey to Sec.  371.103, which references the definition in 
Sec.  375.103.
    Second, the Agency adds paragraph (e) to Sec.  371.111, which 
requires brokers that have a website to display prominently either a 
link to the Ready to Move? document on the FMCSA website or a true and 
accurate copy of that document on their own websites.
    Third, the Agency revises the definition of physical survey in 
Sec.  375.103 to allow for virtual surveys through live and pre-
recorded video.
    Finally, the Agency adds ``You should maintain a record of the 
date, time, and manner that the new estimate was prepared'' to Sec.  
375.405(b)(7)(ii).

VIII. Section-by-Section Analysis

    This section-by-section analysis describes the changes to the 
regulatory text in numerical order.

A. Section 371.103 What are the definitions of terms used in this 
subpart?

    In this section, a definition for physical survey is added to 
reference the definition in Sec.  375.103.

[[Page 24435]]

B. Section 371.111 Must I provide individual shippers with Federal 
consumer protection information?

    A new paragraph (e) is added, which requires brokers that have a 
website to display prominently either a link to the Ready to Move? 
document on the FMCSA website or a true and accurate copy of that 
document on their own websites.

C. Section 371.113 May I provide individual shippers with a written 
estimate?

    Paragraph (a) of this section is revised to remove the requirement 
for household goods to be within 50 miles of the motor carrier agent's 
location before a physical survey is required.

D. Section 375.103 What are the definitions of terms used in this part?

    In this section, a definition for bill of lading is added to 
clarify the role of the bill of lading as both a contract and a receipt 
in the transportation of household goods. The definition for order for 
service is removed. A definition for physical survey is also added, 
which allows for virtual surveys. The definition for reasonable 
dispatch is revised to remove the reference to the order for service. 
The definition for Surface Transportation Board is updated to reflect 
that the Surface Transportation Board is no longer an agency within DOT 
but is instead an independent agency.

E. Section 375.211 Must I have an arbitration program?

    In paragraph (a)(2), the term ``order for service'' is removed and 
replaced with ``bill of lading.''

F. Section 375.213 What information must I provide to a prospective 
individual shipper?

    In this section, the introductory text of paragraph (a) is revised 
and paragraphs (a)(1) and (2) are added. The new paragraph (a) requires 
both Ready to Move? and the Rights and Responsibilities booklet to be 
provided to the individual shipper along with the estimate. Paragraphs 
(a)(1) and (2) include a requirement for motor carriers providing a 
hyperlink for either of the documents to the individual shipper to 
provide a hyperlink directly to those documents on the FMCSA website.
    In the introductory text of paragraph (b), the term ``order for 
service'' is removed and replaced with ``bill of lading'' and the word 
``five'' is removed and replaced with ``four.'' Paragraph (b)(1) is 
deleted and paragraphs (b)(2) through (5) are renumbered as paragraphs 
(b)(1) through (4).
    Paragraph (e) is redesignated as paragraph (f) and a new paragraph 
(e) is added, which requires motor carriers that have a website to 
display prominently either a link to the Ready to Move? document on the 
FMCSA website or a true and accurate copy of that document on their own 
websites.

G. Section 375.215 How must I collect charges?

    In this section, the requirement for a freight or expense bill in 
the first sentence is replaced with a requirement for an invoice.

H. Section 375.217 How must I collect charges upon delivery?

    In paragraph (b), the language regarding an order for service is 
removed.

I. Section 375.221 May I use a charge or credit card plan for payments?

    In paragraph (c), the phrase ``for a freight or expense bill'' is 
removed and replaced with the phrase ``an invoice.''

J. Section 375.401 Must I estimate charges?

    In this section, the introductory text of paragraph (a) is revised 
to require a physical survey for all shipments unless waived, and to 
state that the only way to waive the physical survey of household goods 
is through a written agreement between an individual and a motor 
carrier. Additionally, paragraph (a) is further revised by 
redesignating paragraphs (a)(2)(i) through (iii) as paragraphs (a)(1) 
through (3).
    Paragraph (b) is revised by removing the phrase ``an order for 
service'' and replacing it with ``a bill of lading.'' In paragraph (f), 
the phrase ``the order for service and'' is removed in both places it 
appears.

K. Section 375.403 How must I provide a binding estimate?

    In this section, paragraph (a)(1) is revised to reflect that 49 CFR 
375.401(a) will allow for only one waiver procedure under the changes 
discussed above. Paragraphs (a)(6)(ii) and (a)(9) are revised to no 
longer allow for a revised binding estimate and instead require the 
preparation of a new binding estimate when an individual shipper 
tenders additional household goods or requires additional services 
related to the transportation of the household goods.

L. Section 375.405 How must I provide a non-binding estimate?

    In this section, paragraph (b)(7)(ii) is revised to no longer allow 
for a revised non-binding estimate and instead requires the preparation 
of a new non-binding estimate when an individual shipper tenders 
additional household goods or requires additional services related to 
the transportation of the household goods.
    In paragraph (c) the language regarding an order for service is 
removed.

M. Section 375.501 Must I write up an order for service?

    This section is deleted in its entirety.

N. Section 375.505 Must I write up a bill of lading?

    In this section, paragraph (a) is revised to clarify that a motor 
carrier must prepare and issue a bill of lading at least 3 days before 
receiving a shipment of household goods to transport for an individual 
shipper. In addition, the last three sentences in the paragraph are 
removed. Removing these sentences will delete a discussion of 
incomplete bills of lading, which will be addressed under paragraph 
(h), as well as a reference to an order for service.
    Paragraph (b) is revised to require a bill of lading to contain 17 
items, instead of the 14 items a bill of lading is currently required 
to contain. The additional three items, as well as updates to the other 
items listed in paragraph (b)(1) through (17), incorporate requirements 
currently found in 49 CFR 375.501(a).
    In paragraph (d), the word ``bills'' is removed and replaced with 
``a bill of lading.''
    New paragraph (e), which mirrors current 49 CFR 375.501(b), is 
added to this section.
    New paragraph (f), which mirrors current 49 CFR 375.501(c), is 
added to this section with updates to replace all references to an 
order for service with language regarding a bill of lading.
    New paragraphs (g)(1) through (3) are added to this section. 
Paragraphs (g)(1) and (2) mirror current 49 CFR 375.501(d)(1) and (2) 
with updates to remove the reference to an order for service in 
paragraph (g)(1) and replacing ``at origin'' with ``before the shipment 
is loaded'' in paragraph (g)(2). Paragraph (g)(3) is added to state 
that a motor carrier cannot require an individual shipper to sign a 
blank document.
    A new paragraph (h) is added to this section to require the motor 
carrier to provide the bill of lading to the individual shipper at 
least 3 days before loading and provide the individual shipper with the 
opportunity to rescind the bill of lading without any penalty for a 3-
day period after the individual shipper signs the bill of lading. 
Paragraph (h) also states that, if a new estimate is prepared under

[[Page 24436]]

Sec.  375.403(a)(6)(ii) or Sec.  375.405(b)(7)(ii), ``the corresponding 
changes to the bill of lading from the new estimate do not require a 
new 3-day period as otherwise required in this paragraph (h).''

O. Section 375.605 How must I notify an individual shipper of any 
service delays?

    In paragraph (a), the term ``order for service'' is removed and 
replaced with the term ``bill of lading.''

P. Section 375.801 What types of charges apply to subpart H?

    The heading of this section is changed to read ``What types of 
charges are subject to this subpart?'' to clarify that 49 CFR 375.801 
discusses which types of charges are subject to the requirements of 
subpart H. Additionally, the term ``invoice'' replaces the term 
``freight bill'' in paragraph (a).

Q. Section 375.803 How must I present my freight or expense bill?

    In this section, the term ``invoice'' replaces the term ``freight 
bill'' everywhere it appears, including in the section heading. The new 
heading reads ``How must I present my invoice?''

R. Section 375.805 If I am forced to relinquish a collect-on-delivery 
shipment before the payment of ALL charges, how do I collect the 
balance?

    The term ``invoice'' replaces the term ``freight bill.''

S. Section 375.807 What actions may I take to collect the charges upon 
my freight bill?

    In this section, the term ``invoice'' replaces the term ``freight 
bill'' everywhere it appears, including in the section heading. The new 
heading reads ``What actions may I take to collect the charges upon my 
invoice?''

T. Appendix A to Part 375--Your Rights and Responsibilities When You 
Move

    This appendix is replaced in its entirety with the text of the 
updated Your Rights and Responsibilities When You Move booklet, which 
conforms with the other revisions to part 375 discussed in this 
proposal.

IX. Regulatory Analyses

A. Executive Order (E.O.) 12866 (Regulatory Planning and Review), E.O. 
13563 (Improving Regulation and Regulatory Review), and DOT Regulatory 
Policies and Procedures

    Under section 3(f) of E.O. 12866 (58 FR 51735, October 4, 1993), 
Regulatory Planning and Review, as supplemented by E.O. 13563 (76 FR 
3821, January 21, 2011), Improving Regulation and Regulatory Review, 
this final rule does not require an assessment of potential costs and 
benefits under section 6(a)(3) of E.O. 12866. Accordingly, the Office 
of Management and Budget (OMB) has not reviewed it under those orders.
Affected Entities
    This final rule affects household goods motor carriers covered by 
the 49 CFR part 375 regulations. These regulations are based on the 
commercial statutes with special provisions for household goods 
carriers that authorize States, at their discretion, to enforce Federal 
rules, but only for interstate household goods transportation. The 
motor carrier safety assistance program (MCSAP) statutes do not require 
MCSAP grant recipients to adopt compatible commercial regulations for 
intrastate transportation not related to safety.\2\ Therefore, FMCSA 
anticipates that this rule will affect interstate household goods motor 
carriers, and does not include intrastate household goods motor 
carriers in the counts of affected entities.
---------------------------------------------------------------------------

    \2\ See 49 U.S.C. 31102(c)(2)(Q).
---------------------------------------------------------------------------

    FMCSA obtained motor carrier count information from the Motor 
Carrier Management Information System, which includes information 
submitted to FMCSA by motor carriers the first time they apply for a 
USDOT number, and then biennially thereafter. The table below shows the 
counts of household goods motor carriers in 2019 and estimates of the 
number of carriers that will be affected by this rule annually during 
the analysis period of 2022 to 2031.
    FMCSA estimated the future baseline number of motor carriers by 
developing a compound average growth rate (CAGR) using historical 
counts from 2014 through 2019. There were 3,472 active household goods 
motor carriers in 2014 and 4,297 active household goods motor carriers 
in 2019, resulting in a CAGR of 4.36 percent.
    This rule will also affect shippers, or consumers who hire 
household goods motor carriers which, as described below, is estimated 
to be 20 percent of all interstate moves. The U.S. Census Bureau 
estimates that approximately 7.4 million people moved interstate during 
2018, and that the average household contained 2.63 people. Therefore, 
we can estimate that approximately 2.8 million households participated 
in interstate moves during 2018 (7,443,306 / 2.63 = 2,830,154).\3\ 
However, most interstate moves do not involve a for-hire mover, and 
thus will not be affected by this rule. As discussed below, the 
American Moving and Storage Association (AMSA) estimated that 
approximately 20 percent of interstate household good moves are 
completed by for-hire movers.\4\
---------------------------------------------------------------------------

    \3\ U.S. Census Bureau. 2018: ACS 5-Year Estimates Data 
Profiles. Available at: https://data.census.gov/cedsci/table?d=ACS%205-Year%20Estimates%20Data%20Profiles&table=DP02&tid=ACSDP5Y2018.DP02&vintage=2018&hidePreview=true (accessed Oct. 6, 2020).
    \4\ The AMSA has become a conference of the ATA. ATA, AMSA Join 
Forces for Conference, New Council (Dec. 13, 2021), available at 
https://www.truckinginfo.com/10123193/ata-amsa-join-forces-for-conference-new-council.

        Table 1--Interstate Household Goods (HHG) Motor Carriers
------------------------------------------------------------------------
                                                              Interstate
                            Year                              HHG motor
                                                               carriers
------------------------------------------------------------------------
2019.......................................................        4,297
2020.......................................................        4,484
2021.......................................................        4,680
2022.......................................................        4,884
2023.......................................................        5,097
2024.......................................................        5,319
2025.......................................................        5,551
2026.......................................................        5,793
2027.......................................................        6,046
2028.......................................................        6,309
2029.......................................................        6,584
2030.......................................................        6,871
2031.......................................................        7,171
------------------------------------------------------------------------

Analysis Inputs
Motor Carrier Profit per Hour
    Broadly speaking, the opportunity cost to the motor carrier (the 
firm) of a given regulatory action is the value of the best alternative 
that the firm must forgo in order to comply with the regulatory action. 
In this analysis, FMCSA follows the methodology used in the Entry-Level 
Driver Training rulemakings published in 2016 and 2018 and values the 
change in time spent in nonproductive activity as the opportunity cost 
to the firm, which is represented by the now attainable profit, using 
three variables: The marginal cost of operating a CMV, an estimate of a 
typical average motor carrier profit margin, and the change in 
nonproductive time.
    The American Transportation Research Institute (ATRI) report, An 
Analysis of the Operational Costs of Trucking: 2019 Update, found that 
marginal operating costs were $71.78 per hour in 2018.\5\ These 
marginal costs

[[Page 24437]]

include vehicle-based costs (e.g., fuel costs, insurance premiums, 
etc.), and driver-based costs (i.e., wages and benefits).
---------------------------------------------------------------------------

    \5\ ATRI. An Analysis of the Operational Costs of Trucking: 2019 
Update. October 2019. Table 10, pg. 19. Available at: https://truckingresearch.org/wp-content/uploads/2019/11/ATRI-Operational-Costs-of-Trucking-2019-1.pdf (accessed Dec. 14, 2021). Source data 
are assumed to be presented in 2018 dollar terms.
---------------------------------------------------------------------------

    Next, the Agency estimated the profit margin for motor carriers. 
Profit is a function of revenue and operating expenses, and the 
American Trucking Associations (ATA) defines the operating ratio of a 
motor carrier as a measure of profitability based on operating expenses 
as a percentage of gross revenues.\6\ Armstrong & Associates, Inc. 
(2009) states that trucking companies that cannot maintain a minimum 
operating ratio of 95 percent (calculated as operating costs / net 
revenue) will not have sufficient profitability to continue operations 
in the long run.\7\ Therefore, Armstrong & Associates states that 
trucking companies need a minimum profit margin of 5 percent of revenue 
to continue operating in the future. Transport Topics publishes data on 
the ``Top 100'' for-hire carriers, ranked by revenue.\8\ For 2014, 39 
of these Top 100 carriers also have net income information reported by 
Transport Topics. FMCSA estimates that the 39 carriers with both 
revenue and net income information have an average profit margin of 
approximately 4.3 percent for 2014. For 2018, 33 of these Top 100 
carriers have net income information reported by Transport Topics, with 
an average profit margin of approximately 6 percent for 2018.\9\ The 
higher profit margin experienced in 2018 is reinforced by a Forbes 
article that found net profit margin for freight trucking companies 
``expanded to 6 percent in 2018, compared with an annual average of 
between 2.5 percent and 4 percent each year since 2012.'' \10\ In 2019, 
the data provided by Transport Topics shows a similar pattern based on 
the 28 companies that provided net income information, with an average 
profit margin of 5.8 percent.\11\ However, in 2020 the 30 companies 
that provided income information had an average profit margin of 4.0 
percent.\12\ Due to uncertainty around the impacts of the COVID-19 
pandemic and its effect on trucking operations, FMCSA continues to 
assume a profit margin of 5 percent for motor carriers for purposes of 
this analysis.
---------------------------------------------------------------------------

    \6\ ATA. American Trucking Trends 2015. Page 79.
    \7\ Armstrong & Associates, Inc. Carrier Procurement Insights. 
2009. Pages 4-5. Available at: https://www.3plogistics.com/product/carrier-procurement-insights-trucking-company-volume-cost-and-pricing-tradeoffs-2009/ (accessed Dec. 14, 2021).
    \8\ Transport Topics. 2014. Top 100 For-Hire Carriers. Available 
at: http://ttnews.com/top100/for-hire/2014 (accessed Dec. 14, 2021).
    \9\ Transport Topics. 2018. Top 100 For-Hire Carriers. Available 
at: https://www.ttnews.com/top100/for-hire/2018 (accessed Dec. 14, 
2021).
    \10\ Forbes. Trucking Companies Hauling in Higher Sales. 
Available at: https://www.forbes.com/sites/sageworks/2018/03/04/trucking-companies-hauling-in-higher-sales/#40e0012f3f27 (accessed 
Nov. 19, 2018).
    \11\ Transport Topics. 2019. Top 100 For-Hire Carriers. 
Available at: https://www.ttnews.com/top100/for-hire/2019 (accessed 
Oct. 14, 2020).
    \12\ Transport Topics. 2020. Top 100 For-Hire Carriers. 
Available at: https://www.ttnews.com/top100/for-hire/2020 (accessed 
Dec. 13, 2021).
---------------------------------------------------------------------------

    Using the assumed profit margin of 5 percent for motor carriers, 
FMCSA estimated the revenue gained per hour for motor carriers by 
multiplying the marginal cost per hour by the profit margin. This 
calculation resulted in a profit per hour of $3.59.
Number of Interstate Moves per Year
    FMCSA estimates the number of interstate moves by for-hire movers 
using U.S. Census Bureau data based on the number of people moving 
interstate, the average number of people per household, and an AMSA 
estimate of the number of moves that involved for-hire moving services. 
The U.S. Census Bureau estimates that approximately 7.4 million people 
moved interstate during 2018, and that the average household contained 
2.63 people. Therefore, we can estimate that approximately 2.8 million 
households participated in interstate moves during 2018 (7,443,306 / 
2.63 = 2,830,154).\13\ FMCSA estimates the growth in interstate moves 
using the same Census data from 2010 through 2018 and finds an annual 
average growth rate of 0.08 percent.\14\ AMSA estimated that 550,000, 
or approximately 20 percent, of the interstate household goods moves in 
2017 were completed by for-hire movers.\15\
---------------------------------------------------------------------------

    \13\ U.S. Census Bureau. 2018: ACS 5-Year Estimates Data 
Profiles. Available at: https://data.census.gov/cedsci/table?d=ACS%205-Year%20Estimates%20Data%20Profiles&table=DP02&tid=ACSDP5Y2018.DP02&vintage=2018&hidePreview=true (accessed Oct. 6, 2020).
    \14\ 0.08 percent = (average households that moved interstate in 
2018 / average household that moved interstate in 2010)[supcaret] 
(\1/8\)-1.
    \15\ American Moving and Storage Association. Newsroom: About 
our Industry. https://www.moving.org/newsroom/data-research/about-our-industry/ (accessed Dec. 29, 2020).
---------------------------------------------------------------------------

    Some impacts of the final rule will be based on the distance of the 
shipper's location from the motor carrier. For instance, moves that are 
within 50 miles of the motor carrier agent's location must receive a 
physical survey unless the shipper signs a waiver. The information 
collection request (ICR) supporting statement, published in November 
2019, estimated that the motor carrier agent is within 50 miles of the 
shipper's location for 95 percent of interstate moves, and beyond 50 
miles for 5 percent of moves. The table below shows the number of 
household interstate moves by for-hire movers, and those that are 
within and beyond 50 miles of the motor carrier agent's location.

  Table 2--Number of Interstate Moves by: Households, For-Hire Movers, Within and Beyond 50 Miles of the Motor
                                             Carrier Agent Location
----------------------------------------------------------------------------------------------------------------
                                                             Number of          Number of          Number of
                                       Total number of       household       interstate moves   interstate moves
                Year                   interstate moves   interstate moves     by for-hire        by for-hire
                                        by households       by for-hire      movers within 50   movers beyond 50
                                                               movers             miles              miles
                                                      A        B = A x 20%        C = B x 95%         D = B x 5%
----------------------------------------------------------------------------------------------------------------
2018................................          2,830,154            556,621            528,784             27,837
2019................................          2,832,418            557,066            529,207             27,859
2020................................          2,834,684            557,512            529,630             27,882
2021................................          2,836,952            557,958            530,054             27,904
2022................................          2,839,221            558,404            530,478             27,926
2023................................          2,841,493            558,851            530,902             27,949
2024................................          2,843,766            559,298            531,327             27,971
2025................................          2,846,041            559,745            531,752             27,993
2026................................          2,848,318            560,193            532,177             28,016

[[Page 24438]]

 
2027................................          2,850,596            560,641            532,603             28,038
2028................................          2,852,877            561,090            533,029             28,061
2029................................          2,855,159            561,539            533,456             28,083
2030................................          2,857,443            561,988            533,882             28,106
2031................................          2,859,729            562,438            534,309             28,128
2032................................          2,862,017            562,888            534,737             28,151
----------------------------------------------------------------------------------------------------------------

Cost Impacts
Recommendation 5--Appendix A
    FMCSA is adopting the working group recommendation that would 
require the Rights and Responsibilities booklet to be provided earlier 
in the process--at the time the estimate is provided to the shipper. 
This document contains useful information to assist a shipper in making 
a determination regarding which household goods motor carrier to hire. 
However, requiring the document earlier in the process, prior to when a 
shipper has chosen a carrier, will result in providing an additional 
two documents per interstate move, as FMCSA estimates that shippers 
request an estimate from three household goods carriers and contract 
with only one. Therefore, while FMCSA considers it important to require 
this information early enough in the process for the information to 
inform the shipper's decision on which household goods carrier to 
choose, the requirement will result in costs equal to the increase in 
the time required to print the additional hard copy Rights and 
Responsibilities booklets provided.
    FMCSA estimated this cost by first determining the increase in the 
number of hard copy Rights and Responsibilities booklets printed each 
year. This can be determined by subtracting the number of estimates 
provided from the number of orders for service provided, and adjusting 
for the preference to receive electronic documents. The number of 
orders for service provided is equal to the number of household 
interstate moves by for-hire movers from Table 2. The number of 
estimates provided is equal to the number of orders for service 
provided multiplied by three, accounting for the fact that shippers 
likely request estimates from more than one motor carrier. In the ICR 
supporting statement, FMCSA previously estimated that 40 percent of 
shippers prefer to receive information in hard copy form, and that 60 
percent prefer to receive electronic information.
    As shown in columns A and B of Table 3 below, FMCSA multiplied the 
number of interstate moves per year by 40 percent to estimate the 
number of hard copy Rights and Responsibilities booklets provided to 
shippers under the existing requirements, and multiplied the number of 
orders for service where hard copies are provided by three (to account 
for the assumption that shippers seek an estimate from three different 
household goods carriers) to estimate the number of hard copy Rights 
and Responsibilities booklets that will be provided under the final 
rule. The difference between these two variables (column C) represents 
the increase in the number of hard copy Rights and Responsibilities 
booklets that will be printed as a result of this rule.
    The ICR supporting statement estimated that a carrier could print 
roughly 1,600 pages per hour, and that each Rights and Responsibilities 
booklet consists of 25 pages. Thus, the increase in the number of hours 
needed to print hard copy Rights and Responsibilities documents is 
equal to the number of Rights and Responsibilities documents from Table 
3, Column C, multiplied by 25 pages per document, and divided by 1,600 
pages per hour. Column D shows this maximum increase in hours spent 
printing.
    The time spent printing additional copies of the Rights and 
Responsibilities booklet is time not spent in other revenue producing 
activities. As shown in Table 3, Column E, FMCSA quantifies this 
opportunity cost of time using the previously discussed estimate of the 
motor carrier profit per hour, $3.59, resulting in total 10-year costs 
of $251,000, or $218,000 discounted at 3 percent, and $179,000 
discounted at 7 percent. On an annualized basis, the costs will be 
$26,000 discounted at 3 percent and $26,000 discounted at 7 percent.

           Table 3--Recommendation 5: Motor Carrier Opportunity Cost Resulting From Increased Printing of Rights and Responsibilities Booklet
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                            Number of orders      Number of                                              Motor carrier
                                                            for service with    estimates with    Maximum increase   Maximum increase   increase in cost
                           Year                              hard copy YRR     hard copy of YRR  in number of hard    in total hours    for hours spent
                                                             \(c)\ provided        provided       copies provided     spent printing        printing
                                                              A = Interstate          B = A x 3            C = B-A         D = C x 25      E = D x $3.59
                                                               moves by for-                                                   / 1600
                                                                 hire movers
                                                                       x 40%
--------------------------------------------------------------------------------------------------------------------------------------------------------
2022.....................................................            223,362            670,085            446,723              6,980            $25,051
2023.....................................................            223,540            670,621            447,081              6,986             25,071
2024.....................................................            223,719            671,158            447,438              6,991             25,092
2025.....................................................            223,898            671,695            447,796              6,997             25,112

[[Page 24439]]

 
2026.....................................................            224,077            672,232            448,155              7,002             25,132
2027.....................................................            224,257            672,770            448,513              7,008             25,152
2028.....................................................            224,436            673,308            448,872              7,014             25,172
2029.....................................................            224,616            673,847            449,231              7,019             25,192
2030.....................................................            224,795            674,386            449,590              7,025             25,212
2031.....................................................            224,975            674,925            449,950              7,030             25,232
                                                          ----------------------------------------------------------------------------------------------
    Total 10-Year Cost...................................  .................  .................  .................  .................            251,418
--------------------------------------------------------------------------------------------------------------------------------------------------------
    Total Annualized Cost................................  .................  .................  .................  .................             25,142
--------------------------------------------------------------------------------------------------------------------------------------------------------
Notes:
\a\ Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column are the rounded sum of unrounded
  components.)
\b\ Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a cost savings.
\c\ The Rights and Responsibilities booklet is abbreviated as YRR for the purposes of the tables in this section.

    FMCSA also adopts the recommendation to make it acceptable for 
motor carriers to provide documents, including the Rights and 
Responsibilities booklet, electronically without requiring the motor 
carrier to include a waiver statement on the written estimate. Under 
the existing requirements, when the shipper elects to receive these 
documents via the hyperlink, the motor carrier is required to obtain a 
signed waiver of the shipper's right to a hard copy via a statement on 
the written estimate, as well as a signed and dated receipt that 
includes ``verification of the shipper's agreement to access the 
Federal consumer protection information on the internet.'' The rule 
removes the requirement in 49 CFR 375.213(e)(1) for the shippers to 
include a waiver statement on the written estimate but retains the 
requirement to obtain a receipt. FMCSA expects that removing the waiver 
statement would be a de minimis one-time cost savings for motor 
carrier.
Recommendation 7--Survey of Household Goods
    In agreement with the recommendations, FMCSA changes the 
requirement to conduct a survey of the shipper's goods by redefining a 
``physical survey'' to include both an ``in person'' and a ``virtual'' 
survey. The physical survey would include in-person surveys and virtual 
surveys. This change does not require that shippers receive only 
virtual surveys, but it does provide the option and allows the shipper 
to determine whether a physical or virtual survey would better suit 
their needs.
    In the event of a virtual survey, the motor carrier will likely 
spend the same amount of time completing the survey but will not need 
to travel to and from the shipper's location. This reduction in travel 
will allow that time to be put to other productive uses, resulting in a 
motor carrier cost savings equal to the now attainable profit that can 
be earned during that time. FMCSA estimates this cost savings using 
three variables; the reduction in travel time per completed survey, the 
number of completed surveys that will now be virtual, and the motor 
carrier hourly profit. The distance and time required to travel to and 
from a move site varies with each survey. However, the survey 
requirement is in place for moves originating within 50 miles from the 
motor carrier agent's location. Therefore, we can estimate that the 
time savings would accrue to those moves originating within 50 miles. 
FMCSA estimated the average round-trip travel time for a move 
originating within 50 miles of the motor carrier agent will be 
approximately 1 hour.
    Under the current requirements, physical surveys must be completed 
for all moves originating within 50 miles of the motor carrier agent's 
location, unless the physical survey is waived by the individual 
shipper. FMCSA assumes that under the final rule, some portion of 
shippers will voluntarily request a virtual survey but is unable to 
estimate the exact number of virtual surveys that will be conducted 
under the final rule. FMCSA developed an estimate of the number of 
surveys that will be conducted virtually using a range from 25 percent 
to 75 percent, with a primary estimate of 50 percent. As shown in the 
table below, the motor carrier cost savings are estimated by 
multiplying the number of virtual surveys originating within 50 miles, 
by the 1 hour of time savings, and by the motor carrier profit per hour 
of $3.59. FMCSA estimates that providing virtual surveys will result in 
in costs of -$9.6 million over 10 years (or $9.6 million in cost 
savings), -$8.1 million (or $8.1 million in cost savings) discounted at 
3 percent, and -$6.7 million (or $6.7 million in cost savings) 
discounted at 7 percent. On an annualized basis, the costs will be -
$955,000 (or $955,000 in cost savings) discounted at 3 percent and 
$955,000 (or $955,000 in cost savings) discounted at 7 percent.

[[Page 24440]]



                     Table 4--Recommendation 7: Motor Carrier Opportunity Cost Savings for Providing Virtual Surveys Within 50 Miles
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                   Motor carrier      Motor carrier      Motor carrier
                 Year                   Number of virtual  Number of virtual  Number of virtual   opportunity cost   opportunity cost   opportunity cost
                                          surveys (low)    surveys (primary)    surveys (high)         (low)            (primary)            (high)
                                                        A                  B                  C      D = A x $3.59      E = B x $3.59      F = C x $3.59
                                                                                                         x -1 hour          x -1 hour          x -1 hour
--------------------------------------------------------------------------------------------------------------------------------------------------------
2022..................................            132,619            265,239            397,858         ($475,971)         ($951,942)       ($1,427,914)
2023..................................            132,726            265,451            398,177          (476,352)          (952,704)        (1,429,056)
2024..................................            132,832            265,663            398,495          (476,733)          (953,466)        (1,430,199)
2025..................................            132,938            265,876            398,814          (477,114)          (954,229)        (1,431,343)
2026..................................            133,044            266,089            399,133          (477,496)          (954,992)        (1,432,488)
2027..................................            133,151            266,302            399,452          (477,878)          (955,756)        (1,433,634)
2028..................................            133,257            266,515            399,772          (478,260)          (956,521)        (1,434,781)
2029..................................            133,364            266,728            400,092          (478,643)          (957,286)        (1,435,929)
2030..................................            133,471            266,941            400,412          (479,026)          (958,052)        (1,437,078)
2031..................................            133,577            267,155            400,732          (479,409)          (958,818)        (1,438,228)
                                       -----------------------------------------------------------------------------------------------------------------
    Total 10-Year Cost Savings........  .................  .................  .................        (4,776,884)        (9,553,767)       (14,330,651)
                                       -----------------------------------------------------------------------------------------------------------------
    Total Annualized Cost Savings.....  .................  .................  .................          (477,688)          (955,377)        (1,433,065)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Notes:
\a\ Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column are the rounded sum of unrounded
  components.)
\b\ Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a cost savings.

Recommendation 8--Survey of Household Goods; Beyond 50 Miles
    In agreement with the recommendations, FMCSA is requiring that 
movers offer physical surveys for all household goods shipments, 
including those that are located over 50 miles from the motor carrier 
agent's location.
    Currently, motor carriers are not required to offer physical 
surveys for household goods shipments that are located beyond 50 miles 
from the motor carrier agent's location. Often, a consumer will discuss 
the shipment load and the mover will provide an estimate based on the 
discussion, without visually inspecting the amount or weight of goods 
for transport. The purpose of the survey is to develop a more accurate 
estimate of moving fees and to prevent unexpected charges from 
surfacing later in the move process. Because FMCSA lacks data on how 
behavior would change, FMCSA estimates that all shippers located beyond 
50 miles of the motor carrier agent's location will take advantage of 
the virtual survey option. These surveys would take about 1.5 hours 
each, and FMCSA monetizes this time using the motor carrier profit 
margin of $3.59 per hour. As shown below, FMCSA estimates the cost of 
providing virtual surveys to be approximately $1.5 million over 10 
years, $1.3 million at a 3 percent discount rate, and $1.1 million at a 
7 percent discount rate. On an annualized basis, the cost will be 
$151,000 annualized at both a 3 and 7 percent discount rate.

     Table 5--Recommendation 8: Motor Carrier Opportunity Cost for Providing Virtual Surveys Beyond 50 Miles
----------------------------------------------------------------------------------------------------------------
                                       Number of moves
                                       beyond 50 miles     Motor carrier      Motor carrier      Motor carrier
                Year                    with a virtual    opportunity cost   opportunity cost   opportunity cost
                                            survey                           3% discount rate   7% discount rate
                                                      A  A = B x 1.5 hours  .................  .................
                                                                   x $3.59
----------------------------------------------------------------------------------------------------------------
2022................................             27,926           $150,342           $145,963           $140,506
2023................................             27,949            150,462            141,825            131,419
2024................................             27,971            150,582            137,804            122,920
2025................................             27,993            150,703            133,898            114,971
2026................................             28,016            150,823            130,102            107,535
2027................................             28,038            150,944            126,413            100,580
2028................................             28,061            151,065            122,830             94,076
2029................................             28,083            151,186            119,347             87,991
2030................................             28,106            151,307            115,964             82,301
2031................................             28,128            151,428            112,676             76,978
                                     ---------------------------------------------------------------------------
    Total 10-Year Cost Savings......  .................  .................          1,286,822          1,059,278
                                     ---------------------------------------------------------------------------
    Total Annualized Cost Savings...  .................  .................            150,855            150,817
----------------------------------------------------------------------------------------------------------------
Notes:
a Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column
  are the rounded sum of unrounded components.)
b Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a
  cost savings.


[[Page 24441]]

Recommendation 9--Order for Service
    In agreement with the working group recommendation, FMCSA is 
eliminating the order for service. Much of the information provided on 
the order for service is also on the bill of lading and is therefore 
duplicative.\16\ Eliminating the order for service will reduce the 
amount of paperwork consumers are required to review, but will not 
reduce the necessary information they are provided. Currently, each 
interstate move requires both an order for service and a bill of 
lading. Each document takes 30 minutes to prepare. Under the final 
rule, a motor carrier will be able to save 30 minutes of time for each 
interstate move by no longer drafting an order for service. FMCSA 
monetized this time using the motor carrier hourly profit margin of 
$3.59. As shown below, FMCSA estimates that eliminating the order for 
service will result in costs of -$10 million over 10 years (or cost 
savings of $10 million), -$8.6 million (or $8.6 million in cost 
savings) discounted at 3 percent, and -$7.1 million (or $7.1 million in 
cost savings) discounted at 7 percent. On an annualized basis, the 
costs will be -$1.0 million (or $1.0 million in cost savings) 
discounted at 3 percent and 7 percent.
---------------------------------------------------------------------------

    \16\ FMCSA is revising the requirements for a bill of lading to 
incorporate all of the requirements from an order for service, 
including non-duplicative information.

         Table 6--Recommendation 9: Motor Carrier Opportunity Cost for Eliminating the Order for Service
----------------------------------------------------------------------------------------------------------------
                                          Number of
                                       interstate moves    Motor carrier      Motor carrier      Motor carrier
                Year                     by for-Hire      opportunity cost   opportunity cost   opportunity cost
                                            movers                           3% discount rate   7% discount rate
                                                      A       B = A x -0.5  .................  .................
                                                                     hours
                                                                   x $3.59
----------------------------------------------------------------------------------------------------------------
2022................................            558,404       ($1,002,056)         ($972,870)         ($936,501)
2023................................            558,851        (1,002,858)          (945,290)          (875,935)
2024................................            559,298        (1,003,660)          (918,491)          (819,286)
2025................................            559,745        (1,004,463)          (892,453)          (766,300)
2026................................            560,193        (1,005,267)          (867,152)          (716,741)
2027................................            560,641        (1,006,071)          (842,569)          (670,388)
2028................................            561,090        (1,006,876)          (818,682)          (627,032)
2029................................            561,539        (1,007,681)          (795,473)          (586,480)
2030................................            561,988        (1,008,487)          (772,922)          (548,550)
2031................................            562,438        (1,009,294)          (751,010)          (513,074)
                                     ---------------------------------------------------------------------------
    Total 10- Year Cost Savings.....  .................  .................        (8,576,911)        (7,060,287)
                                     ---------------------------------------------------------------------------
    Total Annualized Cost Savings...  .................  .................        (1,005,476)        (1,005,226)
----------------------------------------------------------------------------------------------------------------
Notes:
\a\ Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column
  are the rounded sum of unrounded components.)
\b\ Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a
  cost savings.

Document Production Cost
    The ICR supporting statement also estimated printing costs of $0.15 
per page for both the Rights and Responsibilities booklet and the Order 
for Service. FMCSA estimates the change in the cost of materials for 
printing the Rights and Responsibilities booklet and the Orders for 
Service by multiplying the change in the number of pages by the $0.15 
cost per page. As shown in Table 7, FMCSA estimates a 10-year materials 
cost to total $16 million, or $13.6 million discounted at 3 percent, 
and $11.2 million discounted at 7 percent. On an annualized basis, the 
costs would be $1.6 million discounted at both 3 and 7 percent.

                                                            Table 7--Document Production Cost
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                         Recommendation 9--
                                                                   Recommendation 5--      eliminating the       Total change in       Total cost for
                              Year                                  increase in pages     order for service      number of pages     producing documents
                                                                    for hard copy YRR   (reduction in pages)
                                                                                     A                     B             C = A + B         D = C x $0.15
--------------------------------------------------------------------------------------------------------------------------------------------------------
2022............................................................            11,168,084             (558,404)            10,609,680            $1,591,452
2023............................................................            11,177,018             (558,851)            10,618,167             1,592,725
2024............................................................            11,185,960             (559,298)            10,626,662             1,593,999
2025............................................................            11,194,909             (559,745)            10,635,163             1,595,275
2026............................................................            11,203,865             (560,193)            10,643,671             1,596,551
2027............................................................            11,212,828             (560,641)            10,652,186             1,597,828
2028............................................................            11,221,798             (561,090)            10,660,708             1,599,106
2029............................................................            11,230,775             (561,539)            10,669,237             1,600,386
2030............................................................            11,239,760             (561,988)            10,677,772             1,601,666
2031............................................................            11,248,752             (562,438)            10,686,314             1,602,947
--------------------------------------------------------------------------------------------------------------------------------------------------------

[[Page 24442]]

 
    Total 10-Year Cost Savings..................................  ....................  ....................  ....................            15,971,934
                                                                 ---------------------------------------------------------------------------------------
    Total Annualized Cost Savings...............................  ....................  ....................  ....................             1,597,193
--------------------------------------------------------------------------------------------------------------------------------------------------------
Notes:
\a\ Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column are the rounded sum of unrounded
  components.)
\b\ Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a cost savings.

Total Costs
    As shown below, FMCSA estimates the total costs of this final rule 
at -$1.6 million (or $1.6 million in cost savings) discounted at 3 
percent, and -$1.3 million (or $1.3 million in cost savings) discounted 
at 7 percent. Expressed on an annualized basis, this equates to -
$188,000 in costs (or $188,000 in cost savings) at both a 3 and 7 
percent discount rate.

                                                                  Table 8--Total 10-Year and Annualized Costs of the Final Rule
                                                                                      [Thousands of 2018$]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                      Rec. 7:
                                                                      Rec. 5:     Virtual survey  Rec. 8: Survey   Rec. 9: Order     Document       Total cost     Total cost 3%   Total cost 7%
                              Year                                Appendix A \c\      of HHG       of HHG beyond    for service   production \g\     (primary)     discount rate   discount rate
                                                                                   (primary) \d\   50 miles \e\         \f\
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
2022............................................................           $25.1        ($951.9)          $150.3      ($1,002.1)        $1,591.5        ($187.2)        ($181.7)        ($174.9)
2023............................................................            25.1         (952.7)           150.5       (1,002.9)         1,592.7         (187.3)         (176.6)         (163.6)
2024............................................................            25.1         (953.5)           150.6       (1,003.7)         1,594.0         (187.5)         (171.5)         (153.0)
2025............................................................            25.1         (954.2)           150.7       (1,004.5)         1,595.3         (187.6)         (166.7)         (143.1)
2026............................................................            25.1         (955.0)           150.8       (1,005.3)         1,596.6         (187.8)         (162.0)         (133.9)
2027............................................................            25.2         (955.8)           150.9       (1,006.1)         1,597.8         (187.9)         (157.4)         (125.2)
2028............................................................            25.2         (956.5)           151.1       (1,006.9)         1,599.1         (188.1)         (152.9)         (117.1)
2029............................................................            25.2         (957.3)           151.2       (1,007.7)         1,600.4         (188.2)         (148.6)         (109.5)
2030............................................................            25.2         (958.1)           151.3       (1,008.5)         1,601.7         (188.4)         (144.4)         (102.5)
2031............................................................            25.2         (958.8)           151.4       (1,009.3)         1,602.9         (188.5)         (140.3)          (95.8)
                                                                 -------------------------------------------------------------------------------------------------------------------------------
    Total 10-Year Cost Savings..................................  ..............  ..............  ..............  ..............  ..............       (1,878.3)       (1,601.9)       (1,318.6)
                                                                 -------------------------------------------------------------------------------------------------------------------------------
    Total Annualized Cost Savings...............................  ..............  ..............  ..............  ..............  ..............         (187.8)         (187.8)         (187.8)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Notes:
\a\ Total cost values may not equal the sum of the components due to rounding. (The totals shown in this column are the rounded sum of unrounded components.)
\b\ Values shown in parentheses are negative values (i.e., less than zero) and represent a decrease in cost or a cost savings.
\c\ (Increase in Number of Hard Copy YRR Booklets Provided) x (25 / 1600) x ($3.59).
\d\ (Number of Virtual Surveys) x ($3.59) x (-1 hour).
\e\ (Interstate Moves beyond 50 miles by For-Hire Movers) x (-0.5 hours) x ($3.59).
\f\ (Interstate Moves by For-Hire Movers) x (-0.5 hours) x ($3.59).
\g\ ((Increase in Pages for YRR Booklet) + (Decrease in Pages for Elimination of Order for Service)) x $0.15.

Benefit Impacts
    FMCSA does not expect this rule to impact safety, but does expect 
that it will result in benefits related to consumer protection and fuel 
savings. Recommendation 5 will result in shippers receiving accurate 
and clear information earlier in the process, allowing them to make 
more informed and better decisions regarding which household goods 
motor carrier to hire, and will allow shippers to obtain more accurate 
estimates of moving fees based on physical surveys for those interstate 
moves beyond 50 miles from a motor carrier agent's location. The motor 
carrier efficiencies discussed above will not negatively impact 
shippers, as the services and information they currently receive will 
not change under the final rule.
    FMCSA anticipates that providing virtual surveys for those moves 
within 50 miles of a motor carrier agent's location will not only 
result in motor carrier time savings quantified above, but could 
potentially result in fuel savings if motor carriers drive fewer miles, 
which could produce a small reduction in CO2 emissions. It 
is important to note that FMCSA is not anticipating a change in CMV 
vehicle miles traveled (VMT), as the rule does not affect the number of 
interstate moves occurring per year, but recognizes that motor carriers 
could reduce miles driven in light-duty vehicles used for providing 
estimates to shippers. The distance and fuel required to travel to and 
from a move site varies with each survey. However, the survey 
requirement is in place for moves within 50 miles of the motor carrier 
agent's location, and we can estimate that any potential fuel savings 
will only accrue to those moves. FMCSA assumes the average mileage for 
these moves will be approximately 25 miles, or 50 miles round-trip. 
Based on data provided by the Bureau of Transportation Statistics, 
light-duty vehicles averaged approximately 22 miles per gallon in 2019, 
resulting in just over 2 gallons saved per trip (22.2 miles per gallon 
/ 50 miles per trip = 2.25 gallons per trip).\17\ The U.S. Energy 
Information

[[Page 24443]]

Administration forecasts real petroleum prices for motor gasoline, and 
estimates an average price per gallon over the analysis period of $2.58 
in 2020 dollars.\18\ Therefore, FMCSA estimates that each virtual 
survey could result in $5.78 in avoided fuel costs (2.2 gallons per 
trip x $2.58 per gallon). Any potential fuel savings would result from 
a reduction in VMT in light-duty vehicles. The Agency is uncertain how 
motor carriers will respond to the proposed change allowing virtual 
surveys, and whether they will be involved in other driving-related 
activities which could diminish or negate any potential fuel savings. 
For these reasons, FMCSA is not quantifying any potential fuel impacts. 
Similarly, while these potential fuel savings, if realized, would 
result in a reduction of CO2 emissions that is directly 
proportional to the amount of fuel saved, the Agency is not quantifying 
those potential savings in this final rule due to the aforementioned 
uncertainty with respect to how motor carriers will adjust their 
operations.
---------------------------------------------------------------------------

    \17\ U.S. Department of Transportation, Bureau of Transportation 
Statistics. Table 4-23: Average Fuel Efficiency of U.S. Light Duty 
Vehicles. https://www.bts.gov/content/average-fuel-efficiency-us-light-duty-vehicles (Accessed Dec. 9, 2021).
    \18\ U.S. Energy Information Administration. Petroleum and Other 
Liquids Prices, Transportation, Motor Gasoline: Reference Case, 
years 2022-2031, 2020$. Available at: https://www.eia.gov/outlooks/aeo/tables_side.php (accessed Dec. 14, 2021).
---------------------------------------------------------------------------

B. Congressional Review Act

    Pursuant to the Congressional Review Act (5 U.S.C. 801, et seq.), 
the Office of Information and Regulatory Affairs (OIRA) designated this 
rule as not a major rule, as defined by 5 U.S.C. 804(2).\19\
---------------------------------------------------------------------------

    \19\ A ``major rule'' means any rule that the OIRA Administrator 
at OMB finds has resulted in or is likely to result in (a) an annual 
effect on the economy of $100 million or more; (b) a major increase 
in costs or prices for consumers, individual industries, Federal 
agencies, State agencies, local government agencies, or geographic 
regions; or (c) significant adverse effects on competition, 
employment, investment, productivity, innovation, or on the ability 
of United States-based enterprises to compete with foreign-based 
enterprises in domestic and export markets (5 U.S.C. 804(2)).
---------------------------------------------------------------------------

C. Regulatory Flexibility Act (Small Entities)

    The Regulatory Flexibility Act of 1980 (5 U.S.C. 601 et seq.) (RFA) 
as amended by the Small Business Regulatory Enforcement Fairness Act of 
1996 (Pub. L. 104-121, 110 Stat. 857) (SBREFA), requires Federal 
agencies to consider the effects of the regulatory action on small 
business and other small entities and to minimize any significant 
economic impact. The term ``small entities'' comprises small businesses 
and not-for-profit organizations that are independently owned and 
operated and are not dominant in their fields, and governmental 
jurisdictions with populations of less than 50,000 (5 U.S.C. 601(6)). 
Accordingly, DOT policy requires an analysis of the impact of all 
regulations on small entities, and mandates that agencies strive to 
lessen any adverse effects on these businesses. Section 605 of the RFA 
allows an Agency to certify a rule, in lieu of preparing an analysis, 
if the rulemaking is not expected to have a significant economic impact 
on a substantial number of small entities.
    This rule affects shippers and household goods motor carriers. 
Shippers, or consumers that hire household good motor carriers, are not 
considered small entities because they do not meet the definition of a 
small entity in Section 601 of the RFA. Specifically, shippers are 
considered neither a small business under Section 601(3) of the RFA, 
nor are they considered a small organization under Section 601(4) of 
the RFA.
    The Small Business Association (SBA) defines the size standards 
used to classify entities as small. SBA establishes separate standards 
for each industry, as defined by the North American Industry 
Classification System (NAICS).\20\ Household goods motor carriers fall 
under Subsector Industry 48421, used household good and office goods 
moving, which has an SBA size standard based on annual revenue of $30 
million.
---------------------------------------------------------------------------

    \20\ Executive Office of the President, OMB. ``North American 
Industry Classification System.'' 2017. https://www.census.gov/library/publications/2017/econ/2017-naics-manual.html (accessed Dec. 
14, 2021).
---------------------------------------------------------------------------

    FMCSA examined data from the U.S. Census Bureau to determine the 
number of small entities within the identified five-digit NAICS 
industry group. The Census Bureau collects and publishes data on the 
number of firms, establishments, employment, annual payroll, and 
estimated receipts by revenue size of the firm. The most recent data 
available is from the 2017 Economic Census.\21\ The revenue size 
categories used in the 2017 Economic Census do not exactly align with 
the SBA size standard, but they do allow FMCSA to develop a good 
estimate of the percentage of small entities within the NAICS industry 
group 48421. The 2017 Economic Census reported that there were 6,097 
firms operating for the entire year within NAICS industry group 48421 
(used household goods and office goods moving). Of those firms that 
operated for the entire year, 6,041 firms (99 percent), had annual 
revenues of less than $25 million. FMCSA concludes that this rule will 
impact a substantial number of small entities.
---------------------------------------------------------------------------

    \21\ U.S. Department of Commerce, U.S. Census Bureau. 
Establishment and Firm Size: Summary Statistics by Revenue Size of 
Firms for the U.S. Last edited October 8, 2021. Available at: 
https://www.census.gov/data/tables/2017/econ/economiccensus/naics-sector-48-49.html (accessed Dec. 14, 2021).
---------------------------------------------------------------------------

    The RFA does not define a threshold for determining whether a 
specific regulation results in a significant impact. However, the SBA, 
in guidance to government agencies, provides some objective measures of 
significance that the agencies can consider using.\22\ Revenue is one 
measure that could be used to illustrate a significant impact, 
specifically, if the cost of the regulation exceeds one percent of the 
average annual revenues of small entities in the sector.
---------------------------------------------------------------------------

    \22\ SBA, Office of Advocacy. ``A Guide for Government Agencies. 
How to Comply with the Regulatory Flexibility Act.'' 2017. Available 
at: https://www.sba.gov/sites/default/files/advocacy/How-to-Comply-with-the-RFA-WEB.pdf (accessed on Dec. 30, 2020).
---------------------------------------------------------------------------

    Examining the 2017 Economic Census data discussed above, FMCSA 
found that affected entities had average revenues ranging from $56,000 
to $15.2 million.\23\ The cost of the regulation would thus need to 
exceed $560 per carrier in any 1 year in order to be considered a 
significant impact on the entities within the smallest revenue size 
category. The exact impact per motor carrier is dependent on many 
variables throughout the year (e.g., the number of hard copy Rights and 
Responsibilities booklets provided, the number of virtual surveys 
provided for those moves within 50 miles of the motor carrier agents' 
locations, and the number of virtual surveys completed for moves beyond 
50 miles of the motor carrier agents' locations) and cannot be 
estimated with precision. While FMCSA cannot provide the exact impact 
per motor carrier, it is possible to evenly distribute the total cost 
of the rule across all affected motor carriers to determine the average 
impact per motor carrier. As shown in the table below, the estimated 
impact per motor carrier does not exceed $550 in any year, and 
therefore is not a significant impact.
---------------------------------------------------------------------------

    \23\ The 2017 Economic Census does not include a category for 
firm size between $25 million and $100 million. As such, FMCSA based 
these calculations off of firms below the $25 million threshold.

[[Page 24444]]



                                   Table 8--Estimated Impact per Motor Carrier
----------------------------------------------------------------------------------------------------------------
                                                                     Household                       Estimated
                              Year                                  goods motor    Total cost 7%    impact per
                                                                     carriers      discount rate   motor carrier
----------------------------------------------------------------------------------------------------------------
2022............................................................           4,884    ($174,909.9)         ($35.8)
2023............................................................           5,097     (163,597.9)          (32.1)
2024............................................................           5,319     (153,017.6)          (28.8)
2025............................................................           5,551     (143,121.5)          (25.8)
2026............................................................           5,793     (133,865.4)          (23.1)
2027............................................................           6,046     (125,208.0)          (20.7)
2028............................................................           6,309     (117,110.4)          (18.6)
2029............................................................           6,584     (109,536.5)          (16.6)
2030............................................................           6,871     (102,452.5)          (14.9)
2031............................................................           7,171      (95,826.6)          (13.4)
----------------------------------------------------------------------------------------------------------------

    Consequently, I certify that the rule will not have a significant 
economic impact on a substantial number of small entities.

D. Assistance for Small Entities

    In accordance with section 213(a) of SBREFA, FMCSA wants to assist 
small entities in understanding this final rule so they can better 
evaluate its effects on themselves and participate in the rulemaking 
initiative. If the final rule will affect your small business, 
organization, or governmental jurisdiction and you have questions 
concerning its provisions or options for compliance; please consult the 
person listed under FOR FURTHER INFORMATION CONTACT.
    Small businesses may send comments on the actions of Federal 
employees who enforce or otherwise determine compliance with Federal 
regulations to the SBA's Small Business and Agriculture Regulatory 
Enforcement Ombudsman and the Regional Small Business Regulatory 
Fairness Boards. The Ombudsman evaluates these actions annually and 
rates each agency's responsiveness to small business. If you wish to 
comment on actions by employees of FMCSA, call 1-888-REG-FAIR (1-888-
734-3247). DOT has a policy regarding the rights of small entities to 
regulatory enforcement fairness and an explicit policy against 
retaliation for exercising these rights.

E. Unfunded Mandates Reform Act of 1995

    The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538) 
requires Federal agencies to assess the effects of their discretionary 
regulatory actions. In particular, the Act addresses actions that may 
result in the expenditure by a State, local, or Tribal government, in 
the aggregate, or by the private sector of $170 million (which is the 
value equivalent of $100 million in 1995, adjusted for inflation to 
2020 levels) or more in any one year. Though this final rule will not 
result in such an expenditure, the Agency does discuss the effects of 
this rule elsewhere in this preamble.

F. Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520) requires 
that an agency consider the impact of paperwork and other information 
collection burdens imposed on the public. An agency is prohibited from 
collecting or sponsoring an information collection, as well as imposing 
an information collection requirement, unless it displays a valid OMB 
control number (5 CFR 1320.8(b)(3)(vi)).
    This final rule will amend the existing approved information 
collection titled ``Transportation of Household Goods; Consumer 
Protection,'' OMB control number 2126-0025, which expires on November 
30, 2022. Specifically, FMCSA seeks approval for the revision of the 
ICR due to the Agency's issuance of this final rule. In accordance with 
44 U.S.C. 3507(d), FMCSA will submit the proposed information 
collection amendments to the OIRA at OMB for its approval.
    Title: Transportation of Household Goods; Consumer Protection.
    OMB Control Number: 2126-0025.
    Type of Review: Revision of a currently-approved information 
collection.
    Summary: FMCSA makes various changes to the household goods 
regulations recommended by the Household Goods Consumer Protection 
Working Group. These changes include further revisions to streamline 
the Rights and Responsibilities booklet which are incorporated in 
appendix A to 49 CFR part 375, require new binding or non-binding 
estimates when an individual shipper tenders more goods or requests 
additional service instead of a revised estimate, allow a motor carrier 
to provide a virtual survey, remove the exception from the survey 
requirement for moves where the household goods are located more than 
50 miles from the motor carrier agent's location, eliminate the order 
for service and incorporate that document into the bill of lading, and 
make other minor updates to increase the clarity of the regulations. 
These changes are intended to reduce the paperwork burden on household 
goods motor carriers and reduce confusion for individual shippers. 
FMCSA summarizes the resulting changes from the existing ICR below.
IC-1: Required Information for Prospective Individual Shippers
    FMCSA requires the Rights and Responsibilities booklet to be 
provided earlier in the process, when the estimate is provided to the 
shipper, which will result in providing an additional two documents per 
interstate move. This is because FMCSA estimates that shippers request 
an estimate from three household goods carriers but contract with only 
one. FMCSA multiplied the average number of interstate moves per year 
by 40 percent to estimate the number of hard copy Rights and 
Responsibilities booklets provided to shippers under the previous 
requirements (558,851 x 40 percent = 223,540 copies). FMCSA then 
multiplied the number of orders for service where hard copies are 
provided by three, to account for the assumption that shippers seek an 
estimate from three different household goods carriers, (223,540 x 3 = 
670,621 copies). The number of additional hard copies that will be 
provided as a result of this rule is 447,081 (670,621-223,540 = 447,081 
copies). It is estimated that a carrier can print roughly 1,600 pages 
per hour and each Rights and Responsibilities booklet consists of 25 
pages. The increase in the number of hours needed to print hard copy 
Rights and Responsibilities booklets will be the additional hard copies 
multiplied by 25 pages per document (447,081 x 25 = 11,177,021 pages) 
divided by 1,600 pages per hour (11,177,021 / 1,600 = 6,986 hours). The

[[Page 24445]]

Agency assumes printing and storing these booklets will be completed by 
an office clerk with a loaded hourly wage of $33.31. Therefore, the 
increase in burden hours will be 6,986 and the increase in cost 
resulting from the proposed rule is $232,705, (6,986 burden hours x 
$33.31 = $232,693).
    Estimated Number of Respondents: 5,100.
    Estimated responses: 447,081.
    Estimated burden hours: 6,986.
    Estimated cost: $232,693.
IC-2: Estimating Charges
    The rule requires that movers offer surveys for all household goods 
shipments, including those that are located over 50 miles from the 
motor carrier agent's location. Previously, household goods motor 
carriers were not required to offer surveys for household goods 
shipments located beyond 50 miles from the motor carrier agent's 
location. FMCSA estimates that all shippers located beyond 50 miles 
from the motor carrier agent's location will take advantage of the 
survey option. There is an annual average of 27,949 moves beyond 50 
miles, of those moves that currently receive non-binding surveys. These 
surveys will take about 1.5 hours each, and FMCSA assumes all tasks 
will be completed by a first line supervisor of a transportation and 
material moving worker with a loaded hourly wage of $44.11, resulting 
in an increase of 41,923 burden hours and an increased cost of 
$1,849,045 (27,959 x 1.5 hours x $44.11 = $1,849,045).
    Estimated Number of Respondents: 5,100.
    Estimated responses: 27,949.
    Estimated burden hours: 41,923.
    Estimated cost: $1,849,045.
IC-3: Pick Up of Shipments of Household Goods
    FMCSA eliminates the order for service because much of the 
information provided on the order for service is also provided on the 
bill of lading. Previously, each interstate move required both an order 
for service and a bill of lading and it took 30 minutes to prepare each 
document. As such, removing the order for service form requirement will 
save 30 minutes per move. The Agency assumes all tasks will be 
completed by a cargo agent with a loaded hourly wage of $33.80. With 
the annual average of 558,851 total interstate moves and 30 minute time 
savings, motor carriers will save 279,426 burden hours (558,851 
interstate moves x -0.5 hours =-279,426 burden hours). The estimated 
cost savings is $9,445,421 (-279,426 burden hours x $33.80 =-
$9,445,421).
    Estimated Number of Respondents: 5,100.
    Estimated responses: 558,851.
    Estimated burden hours: -279,426.
    Estimated cost savings: $9,445,421.
Document Production
    The estimates of the costs of producing required documents is based 
on the total number of pages movers will need to produce multiplied by 
a flat rate of $0.15 per page. With the estimated annual average of 
670,621 Your Rights and Responsibilities When You Move documents 
printed, there will be 16,765,531 total pages printed (670,621 
documents printed x 25 pages per document = 16,765,531 total pages 
printed). The estimated total annual printing cost to respondents is 
$2.5 million (16,765,531 total pages printed x $0.15 per page = $2.5 
million).
    In removing the order for service form, which is a one page 
document, the Agency estimates that there will be 558,851 fewer 
documents printed. This results in an estimated annual cost savings to 
respondents of $83,828 (558,851 documents printed x 1 page per document 
x $0.15 per page = $83,828).
    Estimated Number of Respondents: 5,100.
    Estimated responses: 1,229,472.
    Estimated cost: $2,431,002.
    FMCSA asks for comment on the information collection requirements 
of this rule. Specifically, the Agency asks for comment on: (1) Whether 
the proposed information collection is necessary for FMCSA to perform 
its functions; (2) how the Agency can improve the quality, usefulness, 
and clarity of the information to be collected; (3) the accuracy of 
FMCSA's estimate of the burden of this information collection; and (4) 
how the Agency can minimize the burden of the information collection.
    If you have comments on the information collection, you must send 
those comments to OMB as outlined under the COMMENTS ON THE INFORMATION 
COLLECTION section at the beginning of this final rule.

G. E.O. 13132 (Federalism)

    A rule has implications for federalism under Section 1(a) of E.O. 
13132 if it has ``substantial direct effects on the States, on the 
relationship between the national government and the States, or on the 
distribution of power and responsibilities among the various levels of 
government.''
    FMCSA has determined that this rule would not have substantial 
direct costs on or for States, nor would it limit the policymaking 
discretion of States. Nothing in this document preempts any State law 
or regulation. Therefore, this rule does not have sufficient federalism 
implications to warrant the preparation of a Federalism Impact 
Statement.

H. Privacy

    The Consolidated Appropriations Act, 2005,\24\ requires the Agency 
to conduct a privacy impact assessment (PIA) of a regulation that will 
affect the privacy of individuals. This rule does not require the 
collection of personally identifiable information (PII). In addition, 
the Agency submitted a Privacy Threshold Assessment (PTA) to evaluate 
the risks and effects the rulemaking might have on collecting, storing, 
and sharing personally identifiable information. The DOT Privacy Office 
has determined that this rulemaking does not create privacy risk.
---------------------------------------------------------------------------

    \24\ Public Law 108-447, 118 Stat. 2809, 3268, note following 5 
U.S.C. 552a (Dec. 4, 2014).
---------------------------------------------------------------------------

I. E.O. 13175 (Indian Tribal Governments)

    This rule does not have Tribal implications under E.O. 13175, 
Consultation and Coordination with Indian Tribal Governments, because 
it does not have a substantial direct effect on one or more Indian 
Tribes, on the relationship between the Federal Government and Indian 
Tribes, or on the distribution of power and responsibilities between 
the Federal Government and Indian Tribes.

J. National Environmental Policy Act of 1969

    FMCSA analyzed this rule for the purpose of the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and 
determined this action is categorically excluded from further analysis 
and documentation in an environmental assessment or environmental 
impact statement under FMCSA Order 5610.1 (69 FR 9680, March 1, 2004), 
Appendix 2, paragraphs 6.m. and 6.l. The Categorical Exclusions (CEs) 
in paragraphs 6.m. and 6.l., respectively, cover regulations requiring 
every motor carrier to issue and keep a receipt or bill of lading (or 
record) for property tendered for transportation in interstate or 
foreign commerce, and regulations implementing procedures applicable to 
the operations of household good carriers engaged in the transportation 
of household goods. The requirements in this rule are covered by these 
CEs.

[[Page 24446]]

List of Subjects

49 CFR Part 371

    Brokers, Motor carriers, Reporting and recordkeeping requirements.

49 CFR Part 375

    Advertising, Consumer protection, Freight, Highways and roads, 
Insurance, Motor carriers, Moving of household goods, Reporting and 
recordkeeping requirements.

    Accordingly, FMCSA amends 49 CFR chapter III, parts 371 and 375 as 
follows:

PART 371--BROKERS OF PROPERTY


0
1. The authority citation for part 371 continues to read as follows:

    Authority: 49 U.S.C. 13301, 13501, and 14122; subtitle B, title 
IV of Pub. L. 109-59; and 49 CFR 1.87.


0
2. Amend Sec.  371.103 by adding, in alphabetical order, a definition 
for Physical survey to read as follows:


Sec.  371.103  What are the definitions of terms used in this subpart?

* * * * *
    Physical survey has the same meaning as the term is defined in 
Sec.  375.103 of this subchapter.

0
3. Amend Sec.  371.111 by adding paragraph (e) to read as follows:


Sec.  371.111  Must I provide individual shippers with Federal consumer 
protection information?

* * * * *
    (e) If you have a website, you are required to display prominently 
either a link to the Department of Transportation (DOT) publication 
titled ``Ready to Move?--Tips for a Successful Interstate Move'' (DOT 
publication FMCSA-ESA-03-005, or its successor publication) on the 
FMCSA website or a true and accurate copy of that document on your 
website.

0
4. Amend Sec.  371.113 by revising paragraph (a) to read as follows:


Sec.  371.113  May I provide individual shippers with a written 
estimate?

    (a) You may provide each individual shipper with an estimate of 
transportation and accessorial charges. If you provide an estimate, it 
must be in writing and must be based on a physical survey of the 
household goods conducted by the authorized motor carrier on whose 
behalf the estimate is provided. The estimate must be prepared in 
accordance with a signed, written agreement, as specified in Sec.  
371.115.
* * * * *

PART 375--TRANSPORTATION OF HOUSEHOLD GOODS IN INTERSTATE COMMERCE; 
CONSUMER PROTECTION REGULATIONS

0
5. The authority citation for part 375 continues to read as follows:

    Authority: 49 U.S.C. 13102, 13301, 13501, 13704, 13707, 13902, 
14104, 14706, 14708; subtitle B, title IV of Pub. L. 109-59; and 49 
CFR 1.87.


0
6. Amend Sec.  375.103 by:
0
a. Adding, in alphabetical order, definition for Bill of lading;
0
b. Removing the definition for Order for service; and
0
c. Adding, in alphabetical order, definition for Physical survey;
0
d. Revising the definitions for Reasonable dispatch and Surface 
Transportation Board.
    The additions and revisions read as follows:


Sec.  375.103  What are the definitions of terms used in this part?

* * * * *
    Bill of lading means both the receipt and the contract for the 
transportation of the individual shipper's household goods.
* * * * *
    Physical survey means a survey which is conducted on-site or 
virtually. If the survey is performed virtually, the household goods 
motor carrier must be able to view the household goods through live or 
pre-recorded video that allows it to clearly identify the household 
goods to be transported.
    Reasonable dispatch means the performance of transportation on the 
dates, or during the period, agreed upon by you and the individual 
shipper and shown on the bill of lading. For example, if you 
deliberately withhold any shipment from delivery after an individual 
shipper offers to pay the binding estimate or 110 percent of a non-
binding estimate, you have not transported the goods with reasonable 
dispatch. The term reasonable dispatch excludes transportation provided 
under your tariff provisions requiring guaranteed service dates. You 
will have the defenses of force majeure, i.e., superior or irresistible 
force, as construed by the courts.
* * * * *
    Surface Transportation Board means an independent agency of the 
United States that regulates household goods carrier tariffs, among 
other economic regulatory responsibilities.
* * * * *

0
7. Amend Sec.  375.211 by revising the introductory text of paragraph 
(a)(2) to read as follows:


Sec.  375.211  Must I have an arbitration program?

    (a) * * *
    (2) Before execution of the bill of lading, you must provide notice 
to the individual shipper of the availability of neutral arbitration, 
including all three of the following items:
* * * * *

0
8. Amend Sec.  375.213 by:
0
a. Revising paragraph (a) and the introductory text of paragraph (b);
0
b. Removing paragraph (b)(1);
0
c. Redesignating paragraphs (b)(2) through (5) as paragraphs (b)(1) 
through (4);
0
d. Redesignating paragraph (e) as paragraph (f);
0
e. Adding new paragraph (e); and
0
f. Revising newly redesignated paragraph (f).
    The revisions and addition read as follows:


Sec.  375.213  What information must I provide to a prospective 
individual shipper?

    (a) When you provide the written estimate to a prospective 
individual shipper, you must also provide the individual shipper with 
the following documents:
    (1) The Department of Transportation (DOT) publication titled 
``Ready to Move?--Tips for a Successful Interstate Move'' (DOT 
publication FMCSA-ESA-03-005, or its successor publication). You must 
provide the individual shipper with either a copy or provide a 
hyperlink on your internet website to the web page on the FMCSA website 
containing that publication.
    (2) The contents of appendix A of this part, titled ``Your Rights 
and Responsibilities When You Move'' (DOT publication FMCSA-ESA-03-006, 
or its successor publication). You must provide the individual shipper 
with either a copy or provide a hyperlink on your internet website to 
the web page on the FMCSA website with the publication ``Your Rights 
and Responsibilities When You Move.''
    (b) Before you execute a bill of lading for a shipment of household 
goods, you must furnish to your prospective individual shipper all four 
of the following documents:
* * * * *
    (e) If you have a website, you are required to display prominently 
either a link to the DOT publication titled ``Ready to Move?--Tips for 
a Successful Interstate Move'' (DOT publication FMCSA-ESA-03-005, or 
its successor publication) on the FMCSA website or a true and accurate 
copy of that document on your website.
    (f) If an individual shipper elects to access the Federal consumer 
protection

[[Page 24447]]

information via the hyperlink on the internet as provided in paragraphs 
(a)(1) and (2) of this section:
    (1) You must obtain a signed, dated receipt showing the individual 
shipper has received either or both of the publications that includes 
verification of the shipper's agreement to access the Federal consumer 
protection information on the internet.
    (2) You must maintain the signed receipt required by paragraph 
(f)(1) of this section for one year from the date the individual 
shipper signs the receipt. You are not required to maintain the signed 
receipt when you do not actually transport household goods or perform 
related services for the individual shipper who signed the receipt.

0
9. Revise Sec.  375.215 to read as follows:


Sec.  375.215  How must I collect charges?

    You must issue an honest, truthful invoice that includes all the 
information required by subpart A of part 373 of this chapter. All 
rates and charges for the transportation and related services must be 
in accordance with your appropriately published tariff provisions in 
effect, including the method of payment.

0
10. Amend Sec.  375.217 by revising paragraph (b) to read as follows:


Sec.  375.217  How must I collect charges upon delivery?

* * * * *
    (b) You must specify the same form of payment provided in paragraph 
(a) of this section when you prepare the bill of lading.
* * * * *

0
11. Amend Sec.  375.221 by revising paragraph (c) to read as follows:


Sec.  375.221  May I use a charge or credit card plan for payments?

* * * * *
    (c) If you allow an individual shipper to pay an invoice by charge 
or credit card, you are deeming such payment to be the same as payment 
by cash, certified check, money order, or a cashier's check.
* * * * *

0
12. Amend Sec.  375.401 by revising paragraphs (a), (b) introductory 
text, and (f) to read as follows:


Sec.  375.401  Must I estimate charges?

    (a) You must conduct a physical survey of the household goods to be 
transported and provide the prospective individual shipper with a 
written estimate, based on the physical survey, of the charges for the 
transportation and all related services. An individual shipper may 
elect to waive a physical survey. The waiver agreement is subject to 
the following requirements:
    (1) It must be in writing;
    (2) It must be signed by the shipper before the shipment is loaded; 
and
    (3) You must retain a copy of the waiver agreement as an addendum 
to the bill of lading with the understanding that the waiver agreement 
will be subject to the same record retention requirements that apply to 
bills of lading, as provided in Sec.  375.505(d).
    (b) Before you execute a bill of lading for a shipment of household 
goods for an individual shipper, you must provide a written estimate of 
the total charges and indicate whether it is a binding or a non-binding 
estimate, as follows:
* * * * *
    (f) You must determine charges for any accessorial services such as 
elevators, long carries, etc., before preparing the bill of lading for 
binding or non-binding estimates. If you fail to ask the shipper about 
such charges and fail to determine such charges before preparing the 
bill of lading, you must deliver the goods and bill the shipper after 
30 days for the additional charges.
* * * * *

0
13. Amend Sec.  375.403 by revising paragraphs (a)(1), (a)(6)(ii), and 
(a)(9) to read as follows:


Sec.  375.403  How must I provide a binding estimate?

    (a) * * *
    (1) You must base the binding estimate on the physical survey 
unless waived as provided in Sec.  375.401(a).
* * * * *
    (6) * * *
    (ii) Prepare a new binding estimate prior to loading. The new 
estimate must be signed by the individual shipper. You should maintain 
a record of the date, time, and manner that the new estimate was 
prepared.
* * * * *
    (9) If the individual shipper requests additional services after 
the bill of lading has been issued, you must inform the individual 
shipper of the additional charges involved. The individual shipper must 
agree to the new charges. You must prepare a new binding estimate and 
have the new binding estimate signed by the individual shipper. You may 
require full payment at destination for these additional services and 
for 100 percent of the original binding estimate. If applicable, you 
also may require payment at delivery of charges for impracticable 
operations (as defined in your carrier tariff) not to exceed 15 percent 
of all other charges due at delivery. You must bill and collect from 
the individual shipper any applicable charges not collected at delivery 
in accordance with subpart H of this part.
* * * * *

0
14. Amend Sec.  375.405 by revising paragraphs (b)(7)(ii) and (c) to 
read as follows:


Sec.  375.405  How must I provide a non-binding estimate?

* * * * *
    (b) * * *
    (7) * * *
    (ii) Prepare a new non-binding estimate which must be signed by the 
individual shipper. You should maintain a record of the date, time, and 
manner that the new estimate was prepared.
* * * * *
    (c) If you furnish a non-binding estimate, you must enter the 
estimated charges upon the bill of lading.
* * * * *


Sec.  375.501  [Removed and Reserved]

0
15. Remove and reserve Sec.  375.501.

0
16. Amend Sec.  375.505 by:
0
a. Revising paragraphs (a), (b) introductory text, and (b)(1) through 
(3), (6), and (14);
0
b. Adding paragraphs (b)(15) through (17);
0
c. Revising paragraph (d); and
0
d. Adding paragraphs (e) through (h).
    The revisions and additions read as follows:


Sec.  375.505  Must I write up a bill of lading?

    (a) Before you receive a shipment of household goods you will 
transport for an individual shipper, you must prepare and issue a bill 
of lading. The bill of lading must contain the terms and conditions of 
the contract.
    (b) On a bill of lading, you must include the following 17 items:
    (1) Your legal or trade name (i.e., doing business as name) as it 
is registered with FMCSA, to include your physical address.
    (2) The names, telephone numbers, addresses, and U.S. DOT numbers 
of any motor carriers, when known, who will participate in 
transportation of the shipment.
    (3) The individual shipper's name, address, and, if available, 
telephone number(s).
* * * * *
    (6) For non-guaranteed service, the agreed date or period of time 
for pickup of the shipment and the agreed date or period of time for 
the delivery of the shipment.
* * * * *
    (14) A complete description of any special or accessorial services 
ordered

[[Page 24448]]

and minimum weight or volume charges applicable to the shipment, 
subject to the following two conditions:
    (i) If you provide service for individual shippers on rates based 
upon the transportation of a minimum weight or volume, you must 
indicate on the bill of lading the minimum weight- or volume-based 
rates, and the minimum charges applicable to the shipment.
    (ii) If you do not indicate the minimum rates and charges, your 
tariff must provide how you will compute the final charges relating to 
such a shipment based upon the actual weight or volume of the shipment.
    (15) Each attachment to the bill of lading. Each attachment is an 
integral part of the bill of lading contract. If not provided elsewhere 
to the shipper, the following two items must be added as an attachment 
to the bill of lading.
    (i) The binding or non-binding estimate.
    (ii) The inventory.
    (16) Any identification or registration number you assign to the 
shipment.
    (17) A statement that the bill of lading incorporates by reference 
all the services included on the estimate.
* * * * *
    (d) You must retain a copy of the bill of lading for each move you 
perform for at least 1 year from the date you created the bill of 
lading.
    (e) You, your agent, or your driver must inform the individual 
shipper if you reasonably expect a special or accessorial service is 
necessary to safely transport a shipment. You must refuse to accept the 
shipment when you reasonably expect a special or accessorial service is 
necessary to safely transport a shipment and the individual shipper 
refuses to purchase the special or accessorial service. You must make a 
written note if the shipper refuses any special or accessorial services 
that you reasonably expect to be necessary.
    (f) You and the individual shipper must sign the bill of lading 
prior to the shipment being loaded. The bill of lading must be signed 
at both the origin and the destination. You must provide a dated copy 
of the bill of lading to the individual shipper at the time you sign 
the bill of lading.
    (g)(1) You may provide the individual shipper with blank or 
incomplete estimates, bills of lading, or any other blank or incomplete 
documents pertaining to the move.
    (2) You may require the individual shipper to sign an incomplete 
document prior to the shipment being loaded provided it contains all 
relevant shipping information except the actual shipment weight and any 
other information necessary to determine the final charges for all 
services performed. You may omit only that information that cannot be 
determined before loading, such as actual shipment weight in the case 
of shipments moved under non-binding estimates or unforeseen charges 
incurred in transit.
    (3) You may not require an individual shipper to sign a blank 
document.
    (h) The bill of lading must be provided to, signed, and dated by 
the individual shipper at least 3 days before the shipment is scheduled 
to be loaded. You must provide the individual shipper the opportunity 
to rescind the bill of lading without any penalty for a 3-day period 
after the individual shipper signs the bill of lading. If the 
individual shipper tenders additional items to be moved or requires 
additional services on the day of the move, resulting in a new binding 
estimate under Sec.  375.403(a)(6)(ii) or a new non-binding estimate 
under Sec.  375.405(b)(7)(ii), the corresponding changes to the bill of 
lading from the new estimate do not require a new 3-day period as 
otherwise required in this paragraph (h).

0
17. Amend Sec.  375.605 by revising paragraph (a) introductory text to 
read as follows:


Sec.  375.605  How must I notify an individual shipper of any service 
delays?

    (a) When you are unable to perform either the pickup or delivery of 
a shipment on the dates or during the periods specified in the bill of 
lading and as soon as the delay becomes apparent to you, you must 
notify the individual shipper of the delay, at your expense, in one of 
the following six ways:
* * * * *

0
18. Amend Sec.  375.801 by:
0
a. Revising the section heading; and
0
b. In paragraph (a), removing the words ``freight or expense bill, or'' 
and adding, in their place, the words ``invoice; or''.
    The revision reads as follows:


Sec.  375.801  What types of charges are subject to this subpart?

* * * * *


Sec.  375.803  [Amended]

0
19. Amend Sec.  375.803 by removing the words ``freight or expense 
bill'' wherever they appear and adding, in their place, the word 
``invoice'' and removing the words ``of this subpart''.


Sec.  375.805  [Amended]

0
20. Amend Sec.  375.805 by removing the words ``freight bill'' and 
adding, in their place, the word ``invoice''.


Sec.  375.807  [Amended]

0
21. Amend Sec.  375.807 by:
0
a. Removing the words ``freight bill'' and adding, in their place, the 
word ``invoice'' in the section heading and paragraphs (a) and (c)(1) 
through (3); and
0
b. Removing the words ``freight bills'' and adding, in their place, the 
word ``invoices'' in paragraphs (c)(3) and (4).

0
22. Revise appendix A to part 375 to read as follows:

Appendix A to Part 375--Your Rights and Responsibilities When You Move

General Requirements

    The Federal Motor Carrier Safety Administration's (FMCSA) 
regulations protect consumers of interstate moves and define the 
rights and responsibilities of consumers (shippers) and household 
goods motor carriers (movers).
    The household goods motor carrier gave you this booklet to 
provide information about your rights and responsibilities as an 
individual shipper of household goods. Your primary responsibilities 
are to ensure that you understand the terms and conditions of the 
moving contract (bill of lading), and know what to do in case 
problems arise.
    The primary responsibility for protecting your move lies with 
you in selecting a reputable household goods mover or household 
goods broker, and making sure you understand the terms and 
conditions of your contract and the remedies that are available to 
you in case problems arise.

Definitions and Common Terms

    Accessorial (Additional) Services--These are services such as 
packing, unpacking, appliance servicing, or piano carrying, that you 
request to be performed or are necessary because of landlord 
requirements or other special circumstances.
    Advanced Charges--Charges for services performed by someone 
other than the mover. A professional, craftsman, or other third 
party may perform these services at your request. The mover pays for 
these services and adds the charges to your bill of lading.
    Agent--A local moving company authorized to act on behalf of a 
larger national company.
    Appliance Service by Third Party--The preparation of major 
electrical appliances to make them safe for transportation. Charges 
for these services may be in addition to the line-haul charges.
    Bill of Lading--The receipt for your shipment and the contract 
for its transportation.
    Broker--A company that arranges for the transportation of 
household goods by a registered moving company.
    Collect on Delivery (COD)--This means payment is required at the 
time of delivery at the destination residence (or warehouse).
    Certified Scale--Any scale designed for weighing motor vehicles, 
including trailers or semitrailers not attached to a tractor, and 
certified by an authorized scale inspection and licensing authority. 
A certified scale may also be a platform or warehouse type scale 
that is properly inspected and certified.

[[Page 24449]]

    Commercial Zone--A commercial zone is roughly equivalent to the 
local metropolitan area of a city or town. Moves that cross state 
lines within these zones are exempt from FMCSA's commercial 
jurisdiction and, therefore, the moves are not subject to FMCSA 
household goods regulations. For example, a move between Brooklyn, 
New York, and Hackensack, New Jersey, would be within the New York 
City commercial zone. Although it crossed states lines, this move 
would not be subject to FMCSA household goods regulations.
    Estimate, Binding--This is a written agreement made in advance 
with your mover. It guarantees the total cost of the move based upon 
the quantities and services shown on the estimate.
    Estimate, Non-Binding--This is what your mover believes the cost 
will be, based upon the estimated weight of the shipment and the 
services requested. A non-binding estimate is not binding on the 
mover. The final charges will be based upon the actual weight of 
your shipment, the services provided, and the tariff provisions in 
effect.
    Expedited Service--An agreement with the mover to perform 
transportation by a set date in exchange for an agreed upon 
additional charge.
    Flight Charge--An additional charge for carrying items up or 
down flights of stairs. Charges for these services may be in 
addition to the line-haul charges.
    Full Value Protection--The liability coverage option you are to 
receive for your shipment unless you waive this option in writing. 
It means your mover will process your loss and damage claim by 
replacing or repairing the item to restore its original like, kind, 
and quality.
    Guaranteed Pickup and/or Delivery Service--An additional level 
of service featuring guaranteed dates of service. Your mover will 
provide reimbursement to you for delays. This service may be subject 
to minimum weight requirements.
    High-Value Article--These are items valued at more than $100 per 
pound.
    Household Goods--As used in connection with transportation, 
household goods are the personal effects or property used, or to be 
used, in a dwelling, when part of the equipment or supplies of the 
dwelling belong to an individual shipper. Transporting of the 
household goods must be arranged for and paid by you or another 
individual on your behalf.
    Household Goods Motor Carrier--A motor carrier that, in the 
normal course of its business of providing transportation of 
household goods, offers some or all the following additional 
services: (1) Binding and non-binding estimates, (2) Inventorying, 
(3) Protective packing and unpacking of individual items at personal 
residences, and (4) Loading and unloading at personal residences. 
The term does not include a motor carrier when the motor carrier 
provides transportation of household goods in containers or trailers 
that are entirely loaded and unloaded by an individual (other than 
an employee or agent of the motor carrier).
    Individual Shipper--Any person who:
    1. Is the shipper, consignor, or consignee of a household goods 
shipment;
    2. Is identified as the shipper, consignor, or consignee on the 
face of the bill of lading;
    3. Owns the household goods being transported; and
    4. Pays his or her own tariff transportation charges.
    Impracticable Operations--Conditions which make it physically 
impossible for the mover to perform pickup or delivery with its 
normally assigned road-haul equipment so that the mover is required 
to use specialized equipment and/or additional labor to complete 
pickup or delivery of your shipment. A mover may require payment of 
additional charges for services required due to impracticable 
operations, even if you do not request these services. The specific 
services considered to be impracticable operations by your mover are 
defined in your mover's tariff.
    Inventory--The detailed list of your household goods showing the 
quantity and condition of each item.
    Line-Haul Charges--The charges for the transportation portion of 
your move when a household goods mover transports your shipment.
    Household goods brokers or movers must provide you with basic 
information before you move. You should expect to receive the 
following information:

 A written estimate
 The ``Ready to Move'' Brochure (or a web link to access the 
document)
 Information about the mover's arbitration program
 Written notice about access to the mover's tariff
 The process for handling claims
 This booklet, Your Rights and Responsibilities When You 
Move (or a web link to access the document)

    You should avoid brokers and movers that are not registered with 
FMCSA or refuse to perform a physical survey of your household 
goods. If a broker or mover requires cash, FMCSA advises you to 
retain all receipts and supporting documents associated with the 
transaction.

Customer's Responsibilities

    As a customer, you have responsibilities both to your mover and 
to yourself. They include:
     Reading all moving documents issued by the mover or 
broker.
     Being available at the time of pickup and delivery of 
your shipment. If you are not available, you should appoint a 
representative to act on your behalf.
     Promptly notifying your mover if something has changed 
regarding your shipment (i.e., move dates, additional items).
     Making payment in the amount required and in the form 
agreed to with the mover based on the bill of lading document.
     Promptly filing claims for loss, damage, or delays with 
your mover, if necessary.

Estimates

    The two most important things to understand for your interstate 
move are: The types of estimates offered and the mover's liability 
in the event of loss or damage. As you read further, you will 
discover that movers offer two different types of estimates--binding 
and non-binding. The type of estimate you select determines how the 
charges for your shipment will be calculated. The estimate provided 
by your mover will notify you of the two liability coverage options: 
Option 1--Full Value Protection and Option 2--Waiver of Full Value 
Protection (60 cents per pound). The mover's liability is discussed 
in detail in the next section.
    FMCSA requires your mover to provide written estimates on every 
shipment transported for you. Your mover's verbal quote of charges 
is not an official estimate since it is not in writing. Your mover 
must provide you with a written estimate of all charges including 
transportation, and accessorial and advanced charges (defined at the 
end of this booklet). This written estimate must be dated and signed 
by you and the mover.
    The estimate your mover provides you will include a statement 
notifying you of two options of liability coverage for your 
shipment: Full Value Protection and Waiver of Full Value Protection, 
Released Value of 60 cents per pound per article.
    Your mover must provide an estimate based upon a physical survey 
of your household goods. A physical survey means a survey which is 
conducted on-site or virtually, that allows your mover to see the 
household goods to be transported. A physical survey must be 
performed unless you waive this requirement in writing.
    Please be aware that a household goods broker may only provide 
an estimate on a mover's behalf if the broker has a written 
agreement with the mover and uses the mover's published tariff.
    You and your mover may agree to change an estimate of charges 
based on changed circumstances, but only before your shipment is 
loaded. Your mover may not change an estimate after loading the 
shipment. There is more information about changes to estimates in 
the following sections.

Binding Estimates

    A binding estimate guarantees that you cannot be required to pay 
more than the amount on the estimate at the time of delivery. 
However, if you add additional items to your shipment or request 
additional services, you and your mover may:
     Agree to abide by the original binding estimate;
     prepare a new binding estimate; or
     agree to convert the binding estimate into a non-
binding estimate.
    If you and the mover do not agree to one of the three options 
listed above, the mover is not required to service the shipment. If 
the mover does not give you a new binding estimate in writing, or 
agree in writing to convert the binding estimate to a non-binding 
estimate before your goods are loaded, the original binding estimate 
is reaffirmed. Under these circumstances, your mover should not 
charge or collect more than the amount of the original binding 
estimate at delivery for the quantities and services included in the 
estimate.
    If there are unforeseen circumstances (such as elevators, 
stairs, or required parking

[[Page 24450]]

permits) at the destination the mover can bill you for these 
additional expenses after 30 days from delivery. Charges for 
services required because of impracticable operations (defined at 
the end of this booklet) are due at delivery, but may not exceed 15 
percent of all other charges due at delivery; any remaining charges 
will be billed to you with payment due in 30 days from delivery.
    If you are unable to pay 100 percent of the charges on a binding 
estimate at delivery, your mover may place your shipment in storage 
at your expense. In an effort to schedule delivery of your shipment 
from storage, you will have to pay the required charges and storage 
fees, if listed in the tariffs, after your shipment arrives at the 
residence.
    Your mover may charge a fee to prepare a binding estimate.

Non-Binding Estimates

    A non-binding estimate is intended to provide you with an 
estimate of the cost of your move. A non-binding estimate is not a 
guarantee of your final costs, but it should be reasonably accurate. 
The estimate must indicate that your final charges will be based 
upon the actual weight of your shipment, the services provided, and 
the mover's published tariff. Therefore, the amount of your mover's 
non-binding estimate may be different than the amount you ultimately 
must pay to receive your shipment.
    A non-binding estimate must be in writing and clearly describe 
the shipment and all services provided. Under a non-binding 
estimate, the mover cannot require you to pay more than 110 percent 
of the non-binding estimate at the time of delivery. This does not 
excuse you from paying all the charges due on your shipment. The 
mover will bill you for any remaining charges after 30 days from 
delivery.
    On the day of pick-up, if you have additional items to move, 
your mover must do one of two things prior to loading:
     Reaffirm your non-binding estimate; or
     prepare a new non-binding estimate to include all the 
items that are being moved.
    If you and the mover do not agree to one of the two options 
listed above, the mover is not required to service the shipment. If 
you are unable to pay 110 percent of the charges on a non-binding 
estimate at delivery, your mover may place your shipment in storage 
at your expense. In order to schedule delivery of your shipment from 
storage, you will likely have to agree to pay the required charges 
and storage fees, if listed in the tariffs, after your shipment 
arrives at the residence.
    Your mover must give you possession of your shipment if you pay 
110 percent of a non-binding estimate or 100 percent of a binding 
estimate, plus 15 percent of the impracticable operations charges 
(if applicable). If your mover does not relinquish possession, the 
mover is holding your shipment hostage in violation of Federal law.

Your Mover's Liability and Your Claims

    In general, your mover is legally liable for loss or damage that 
occurs during the transportation of your shipment and all related 
services identified on the bill of lading.
    The extent of your mover's liability is governed by the Surface 
Transportation Board's Released Rates Order. The Surface 
Transportation Board is an independent Federal agency that has 
jurisdiction over HHG motor carrier tariffs and valuation for lost 
or damaged goods. You may obtain a copy of the current Released 
Rates Order by visiting the Surface Transportation Board's website 
at: https://prod.stb.gov/wp-content/uploads/files/docs/householdGoodsMoving/41845.pdf. In addition, your mover may, but is 
not required to, offer to sell you separate third-party liability 
insurance.
    All moving companies are required to assume liability for the 
value of the household goods they transport. However, there are two 
different levels of liability that apply to interstate moves: Full 
Value Protection and Waiver of Full Value Protection--Released 
Value. It is important you understand the charges that apply and the 
amount of protection provided by each level.

Full Value Protection

    This is the most comprehensive option available to protect your 
household goods, but it will increase the cost of your move. The 
initial cost estimate of charges that you receive from your mover 
must include this level of protection. Your shipment will be 
transported at this level of liability unless you waive Full Value 
Protection. Under your mover's Full Value Protection level of 
liability, subject to the allowable exceptions in your mover's 
tariff, if any article is lost, destroyed, or damaged while in your 
mover's custody, your mover will, at its option, either (1) repair 
the article to the extent necessary to restore it to the same 
condition as when it was received by your mover, or pay you for the 
cost of such repairs; or (2) replace the article with an article of 
like, kind and quality, or pay you for the cost to replace the 
items.
    The exact cost for your shipment, including Full Value 
Protection, may vary by mover and may be further subject to various 
deductible levels. Full Value Protection will increase the cost of 
your move above the basic transportation cost. The minimum valuation 
level for determining the cost of Full Value Protection of your 
shipment is $6.00 per pound times the weight of your shipment. Your 
mover may use a higher minimum value, or you may declare a higher 
value for your shipment (at an additional cost). The charges that 
apply for providing Full Value Protection must be shown in your 
mover's tariff. Ask your mover for the details under its specific 
program.
    Under this option, movers are permitted to limit their liability 
for loss or damage to articles of extraordinary value, unless you 
specifically list these articles on the shipping documents. An 
article of extraordinary value is any item whose value exceeds $100 
per pound (for example, jewelry, silverware, china, furs, antiques, 
oriental rugs, and computer software). Ask your mover for a complete 
explanation of this limitation before your move. It is your 
responsibility to study this provision carefully and to make the 
necessary declaration.

Waiver of Full Value Protection (Released Value of 60 Cents per 
Pound per Article)

    Released Value is minimal protection; however, it is the most 
economical protection available as there is no charge to you. Under 
this option, the mover assumes liability for no more than 60 cents 
per pound, per article. For example, if a 10-pound stereo component 
valued at $1,000 was lost or destroyed, the mover would be liable 
for no more than $6.00 (10 pounds x $ .60). Obviously, you should 
think carefully before agreeing to such an arrangement.

Third Party Insurance

    If you purchase separate third party cargo liability insurance 
through your mover, the mover is required to issue a policy or other 
written record of the purchase and to provide you with a copy of the 
policy or other document at the time of purchase. If the mover fails 
to comply with this requirement, the mover is liable for any claim 
for loss or damage.
    Shipments transported under a mover's bill of lading may be 
subject to arbitration in the event of a dispute over loss or damage 
claims. However, disputes with third party insurance companies are 
not subject to FMCSA regulations.

Reducing Your Mover's Normal Liability

    The following are some actions that may limit or reduce your 
mover's liability for loss or damage to your household goods:
    1. Your acts or omissions cause the loss or damage to occur. For 
example, improper packing of containers you pack yourself do not 
provide sufficient protection or you include perishable, dangerous, 
or hazardous materials in your shipment without your mover's 
knowledge. Federal law forbids you to ship hazardous materials in 
your household goods boxes or luggage without informing your mover.
    2. You chose the Waiver of Full Value Protection--Released Value 
level of liability (60 cents per pound per article) but ship 
household goods valued at more than 60 cents per pound per article.
    3. You declare a value for your shipment which is less than the 
actual value of the articles in your shipment.
    4. You fail to notify your mover in writing of articles valued 
at more than $100 per pound. (If you do notify your mover, you will 
be entitled to full recovery up to the declared value of the article 
or articles, not to exceed the declared value of the entire 
shipment.)

Loss and Damage Claims

    Movers customarily take every precaution to make sure that, 
while your shipment is in their possession, no items are lost, 
damaged or destroyed. However, despite the precautions taken, 
articles are sometimes lost or destroyed during the move. You have 
the right to file a claim with your mover to be compensated for loss 
or damage.
    You have 9 months from the date of delivery (or in the event of 
loss for the entire shipment, from the date your shipment should 
have been delivered) to file your claim.
    The claim must be submitted in writing to your mover or to your 
mover's third party

[[Page 24451]]

insurer for claim processing. After you submit your claim, your 
mover has 30 days to acknowledge receipt of it. The mover then has 
120 days to provide you with a disposition. The mover might be 
entitled to 60-day extensions if the claim cannot be processed or 
disposed of within 120 days. If an extension is necessary, your 
mover must notify you in writing.

Delay Claims

    Delay claims are processed when you have contracted with your 
mover for guaranteed service for pickup and delivery. Your mover 
will outline on the bill of lading any penalty or per diem 
entitlements when there is a pickup delay and/or delivery delay.

Moving Paperwork

    Do not sign entirely blank documents. And only sign incomplete 
documents where the only incomplete sections are for information 
that cannot be determined prior to loading, specifically the actual 
weight of your shipment, in the case of a non-binding estimate, and 
unforeseen charges that occur in transit or at destination.

Inventory

    Your mover must prepare an inventory of your shipment. This is 
usually done at the time the mover loads your shipment. The mover is 
required to list any damage or unusual wear to any items. The 
purpose is to make a record of the existence and condition of each 
item before it is moved.
    After completing the inventory, both you and the mover must sign 
each page of the inventory. It is important that before signing you 
make sure the inventory lists every item in your shipment and that 
entries regarding the condition of each item are correct. You have 
the right to note any disagreement. When your shipment is delivered, 
if an item is missing or damaged, your ability to recover from the 
mover for any loss or damage may depend on the notations made on 
this form.
    The mover will give you a copy of each page of the inventory. 
Attach the complete inventory to your copy of the bill of lading. It 
is your receipt for the shipment.
    At the time your shipment is delivered, it is your 
responsibility to check the items delivered against the items listed 
on your inventory. If new damage is discovered, make a record of it 
on the inventory form. Call the damage to the attention of the mover 
and request that a record of the damage be made on the mover's copy 
of the inventory.
    After the complete shipment is unloaded, the mover will request 
that you sign the mover's copy of the inventory to show that you 
received the items listed. Do not sign until you have assured 
yourself that it is accurate and that proper notations have been 
entered regarding any missing or damaged items. Movers are 
prohibited from having you sign documents that release the mover 
from all liability for loss or damage to the shipment in exchange 
for delivery.

Bill of Lading

    Your mover is required by law to prepare a bill of lading for 
your shipment. The bill of lading is the contract between you and 
the mover for the transportation of your shipment. This document is 
issued at least 3 days prior to the pickup date. The information on 
the bill of lading is required to include all the information and 
charges associated with the transportation of your shipment. The 
driver who loads your shipment must give you a copy of the bill of 
lading before or at the time of loading your shipment. The bill of 
lading is an important document. Do not lose or misplace your copy. 
Keep it available until your shipment is delivered, all charges are 
paid, and all claims, if any, are settled.
    IT IS YOUR RESPONSIBILITY TO READ THE BILL OF LADING BEFORE YOU 
ACCEPT IT
    The bill of lading requires the mover to provide the service you 
requested and requires you to pay the charges for the service. It is 
your responsibility to understand the bill of lading before you sign 
it. If you do not agree with something on the bill of lading, do not 
sign it until you are satisfied it is correct.
    The bill of lading serves to identify the mover and specifies 
when the transportation is to be performed. Be sure that the 
portions of the bill of lading that note the dates when pickup and 
delivery are to be performed are completed and that you agree with 
the dates. The bill of lading also specifies the terms and 
conditions for payment of the total charges and the maximum amount 
required to be paid at the time of delivery for shipments moving 
under a binding estimate. In the case of shipments moving under non-
binding estimates, the bill of lading will not include a final 
calculation of charges because that cannot be determined until the 
shipment is weighed. However, the bill of lading must contain all 
relevant shipment information--except the shipment weight that will 
be determined after the shipment has been weighed and any unforeseen 
charges that occur in transit or at destination.
    The bill of lading must include the following 17 items:
    1. The legal or trade name (i.e., doing business as name) of the 
mover as it is registered with FMCSA, to include its physical 
address.
    2. The names, telephone numbers, addresses, and USDOT Numbers of 
any motor carriers, when known, who will participate in 
transportation of the shipment.
    3. Your name, address, and, if available, telephone number(s).
    4. The form of payment the mover and its agents will honor at 
delivery. The payment information must be the same that was entered 
on the estimate.
    5. When transportation is on a collect-on-delivery basis, the 
name, address, and if furnished, the telephone number, facsimile 
number, or email address of a person to notify about the charges. 
The notification may also be made by overnight courier or certified 
mail, return receipt requested.
    6. For non-guaranteed service, the agreed date or period of time 
for pickup of the shipment and the agreed date or period of time for 
the delivery of the shipment.
    7. For guaranteed service, subject to tariff provisions, the 
dates for pickup and delivery, and any penalty or per diem 
entitlements due to you.
    8. The actual date of pickup.
    9. The company or motor carrier identification number of the 
vehicle(s) that will transport your shipment.
    10. The terms and conditions for payment of the total charges, 
including notice of any minimum charges.
    11. The maximum amount your mover will demand at the time of 
delivery in order for you to obtain possession of the shipment, when 
you transport under a collect-on-delivery basis.
    12. The valuation statements provided in the Surface 
Transportation Board (STB)'s released rates order. These statements 
require individual shippers either to accept Full Value Protection 
for their liability or to waive the Full Value Protection in favor 
of the STB's released rates. The released rates may be increased 
annually by the motor carrier based on the U.S. Department of 
Commerce's Cost of Living Adjustment. Contact the STB for a copy of 
the Released Rates of Motor Carrier Shipments of Household Goods. If 
the individual shipper waives your Full Value Protection in writing 
on the STB's valuation statement, you must include the charges, if 
any, for optional valuation coverage (other than Full Value 
Protection).
    13. Evidence of any insurance coverage sold to or procured for 
the individual shipper from an independent insurer, including the 
amount of the premium for such insurance.
    14. A complete description of any special or accessorial 
services ordered and minimum weight or volume charges applicable to 
the shipment, subject to the following two conditions:
    (i) If your mover provides service for you on rates based upon 
the transportation of a minimum weight or volume, your mover must 
indicate on the bill of lading the minimum weight- or volume-based 
rates, and the minimum charges applicable to the shipment.
    (ii) If your mover does not indicate the minimum rates and 
charges, your mover's tariff must provide information to compute the 
final charges relating to such a shipment based upon the actual 
weight or volume of the shipment.
    15. Each attachment to the bill of lading is an integral part of 
the contract. That includes the binding or non-binding estimate, 
inventory and any signed waiver documents associated with the 
shipment.
    16. Any identification or registration number assigned to the 
shipment.
    17. A statement that the bill of lading incorporates by 
reference all the services included on the estimate, including any 
new estimate prepared by the mover.
    The bill of lading must be signed and dated by you and your 
mover at origin and destination.

Invoice

    At the time of payment of transportation charges, your mover 
must give you an invoice identifying the service provided and the 
charge for each service. It is customary for most movers to use a 
copy of the bill of lading as the invoice.
    Except in those instances where a shipment is moving on a 
binding estimate, the invoice must specifically identify each 
service performed, the rate or charge per

[[Page 24452]]

service performed, and the total charges for each service. If this 
information is not on the invoice, do not accept or pay the invoice.
    Your mover must deliver your shipment upon payment of 100 
percent of a binding estimate or 110 percent of a non-binding 
estimate, plus the full cost of any additional services that you 
required after the contract was executed and any charges for 
impracticable operation, not to exceed 15 percent of all other 
charges due at delivery. If you do not pay the transportation 
charges due at the time of delivery, your mover has the right, under 
the bill of lading, to refuse to deliver your shipment. The mover 
may place your shipment in storage, at your expense, until the 
charges are paid.
    On shipments paid in advance, your mover must present its 
invoice for all transportation charges within 15 days of the date 
your mover delivered the shipment. This period excludes Saturdays, 
Sundays, and Federal holidays.
    On shipments paid upon delivery, your mover must present its 
invoice for all transportation charges on the date of delivery, or, 
at its discretion, within 15 days calculated from the date the 
shipment was delivered at your destination. This period excludes 
Saturdays, Sundays, and Federal holidays. Bills for additional 
charges based on the weight of the shipment will be presented after 
30 days from delivery; charges for impracticable operations not paid 
at delivery are due within 30 days of the invoice.
    Your mover's invoice and accompanying written notices must state 
the following five items:

1. Penalties for late payment
2. The period of time for any credit extended
3. Service or finance charges
4. Collection expense charges
5. Any applicable discount terms

Weight Tickets

    Your mover must obtain weight tickets if your shipment is moving 
under a non- binding estimate. Each time your shipment is weighed, a 
separate weight ticket must be obtained and signed by the weigh 
master. If both weighings are performed on the same scale, one 
weight ticket may be used to record both weighings. The weight 
tickets must be presented with the invoice. Each weight ticket must 
contain the following six items:
    1. The complete name and location of the scale.
    2. The date of each weighing.
    3. The identification of the weight entries as being the tare, 
gross, or net weights.
    4. The company or mover identification of the vehicle.
    5. The last name of the individual shipper as it appears on the 
bill of lading.
    6. The mover's shipment registration or bill of lading number.
    Additional information regarding weighing shipments is located 
later in this booklet.

Collection of Charges

    Your mover must issue you an honest and truthful invoice for 
each shipment transported. When your shipment is delivered, you will 
be expected to pay either: (1) 100 percent of the charges on your 
binding estimate, or (2) 110 percent of the charges on your non-
binding estimate. You will also be requested to pay the charges for 
any services that you requested (for example, waiting time, an extra 
pickup or delivery, storage) after the contract with your mover was 
executed that were not included in the estimate, and any charges for 
services performed in conjunction with impracticable operations, not 
to exceed 15 percent of all other charges due at delivery. Your 
mover will bill you after your shipment is delivered for any 
remaining services.
    You should verify in advance what method of payment your mover 
will accept. Your mover must note in writing on the bill of lading 
the forms of payment it accepts at delivery. Do not assume your 
mover will accept payment by credit card unless it is clearly 
indicated on the bill of lading.
    If you do not pay the charges due at the time of delivery, the 
mover has the right to refuse to deliver your shipment and to place 
it into storage at your expense until the charges are paid. It is 
standard procedure for you to pay the charges due at delivery prior 
to the mover unloading the shipment at destination, in accordance 
with the terms specified on the bill of lading.
    If your shipment is transported by two or more trucks, the mover 
may require payment for each portion as it is delivered. You mover 
may delay the collection of all the charges until the entire 
shipment is delivered, at its discretion. When you confirm your 
shipment transportation with your mover, you should ask the mover 
about this policy.
    Your mover can only collect the charges on the percentage of the 
shipment that was successfully delivered. For example, if you 
receive a binding estimate of $1,000 to move 1,000 pounds of your 
goods, and 50 percent of that shipment is lost, then the mover can 
only collect 50 percent of the estimate or $500. If the estimate is 
non-binding then only 50 percent of the actual charges, not to 
exceed 110 percent of the estimate, can be collected, which would be 
$550.
    Your mover is forbidden from collecting, or requiring you to 
pay, any freight charges (including any charges for accessorial or 
terminal services) when your shipment is totally lost or destroyed 
in transit, unless the loss or destruction was due to an act or 
omission by you. However, if you receive Full Value Protection on 
your shipment, you will be required to pay the premium to process 
your claim for the total loss.

Transportation of Your Shipment

Pickup and Delivery

    Before you move, be sure to reach an agreement with your mover 
on the dates for pickup and delivery of your shipment. It is your 
responsibility to determine on what date your shipment will be 
picked up and the date or timeframe you require delivery. Once an 
agreement is reached, your mover must enter those dates on the bill 
of lading. Upon loading your shipment, your mover is contractually 
bound to provide the service described in the bill of lading.
    The mover might use the term ``delivery spread'' as the 
timeframe in which you can expect your shipment to be delivered. 
This means that your shipment could arrive anytime during the 
delivery spread. The mover is required to give you a 24-hour advance 
notice of when they plan to arrive with your shipment. At that time, 
you must be available to accept delivery or your shipment could be 
placed in storage at your expense.
    When you and the mover agree to a delivery date, or to a range 
of dates, it is your responsibility to be available to accept 
delivery on any of those dates. The same applies when you and the 
mover agree to alternate delivery dates.
    Do not agree to have your shipment picked up or delivered ``as 
soon as possible.'' The dates or periods you and your mover agree 
upon should be definite.
    If you request the mover to change the dates for your shipment, 
most movers will agree to do so if the change will not result in 
unreasonable delay to their equipment or interfere with another 
customer's move. However, the mover is not required to change the 
dates and can place your shipment in storage at your expense if you 
are unwilling or unable to accept delivery on the agreed dates.
    The only reason your mover would be excused from providing a 
service as described in the bill of lading is because of ``force 
majeure.'' This is a legal term which means an unforeseen change of 
circumstances beyond the control of the mover. For example, if there 
were a major snow storm that prevented your mover from servicing 
your shipment as outlined in the bill of lading, your mover would 
not be responsible for damages resulting from its nonperformance.
    If your mover fails to pick up or deliver your shipment on the 
agreed date or during the delivery spread, and you have expenses 
that you otherwise would not have, you may be able to recover these 
expenses from the mover through a delay of shipment claim.
    Ask your mover before you move what payment or other 
arrangements you can expect if your shipment is delayed through the 
fault of the mover.
    Your mover must transport your household goods in a timely 
manner. This is also known as ``reasonable dispatch service.'' If 
you have arranged for a guaranteed delivery date, the terms of that 
agreement with your mover apply.
    When your mover is unable to meet either the pickup or delivery 
dates or provide service during the periods of time specified in the 
bill of lading, your mover must notify you of the delay. The mover 
must advise you of the dates or periods of time it may be able to 
pick up and/or deliver your shipment. Your mover must provide this 
information in writing.

Early Delivery

    If you are unable to accept delivery before the first day of the 
delivery spread, then your mover may place your shipment in storage 
in a warehouse located in proximity to the destination. If your 
mover exercises this option, your mover must immediately notify you 
of the name and address of the warehouse where your mover places 
your shipment. Your mover has full responsibility

[[Page 24453]]

for the charges for re-delivery, handling, and storage until it 
makes the final delivery.

Storage in Transit

    You may request your mover to store your household goods before 
delivering them. Your mover must notify you in writing or in person 
at least 10 days before the expiration date of:
    1. The specified period of time when your mover is to hold your 
shipment in storage.
    2. The maximum period of time provided in its tariff for 
storage-in-transit.
    If your mover holds your household goods in storage-in-transit 
for less than 10 days, your mover must notify you, 1 day before the 
storage-in-transit period expires of the same information specified 
above.
    When the storage period is about to expire, your mover must 
notify you in writing about the following four items:
    1. The date when storage-in-transit will covert to permanent 
storage.
    2. The existence of a 9-month period after the date of 
conversion to permanent storage, during which you may file claims 
against your mover for loss or damage occurring to your goods while 
in transit or during the storage-in-transit period.
    3. When your mover's liability will end for loss and damage.
    4. When your shipment will become subject to the rules, 
regulations, and charges of the management of the storage facility.

Weighing Shipments

    If your mover transports your household goods on a non-binding 
estimate, your mover must determine the actual weight of your 
shipment on a certified scale in order to calculate its lawful 
tariff charge. If your mover provided a binding estimate, the weight 
of the shipment will not affect the charges you will pay, so there 
is no requirement to weigh shipments moving under binding estimates.
    Most movers have a minimum weight charge for transporting a 
shipment. If your shipment appears to weigh less than the mover's 
minimum weight, your mover must state the minimum cost on the bill 
of lading. Should your mover fail to advise you of the minimum 
charges and your shipment is less than the minimum weight, your 
mover must base your final charges upon the actual weight, not upon 
the minimum weight.
    Usually, your shipment will be weighed in the city or local area 
where the shipment originates. The driver has the truck weighed 
before coming to your residence and then has it weighed again after 
your shipment has been loaded. The difference in these two weights 
is the weight of your shipment.
    The mover may also weigh your shipment at its destination when 
the shipment is delivered. The driver will have the truck weighed 
with your shipment on board and then weighed a second time after 
your shipment has been unloaded. Each time a weighing is performed, 
the driver is required to obtain an official weight ticket signed by 
the weigh master of a certified scale and a copy of the weight 
tickets must accompany your copy of the bill of lading. Shipments of 
less than 3,000 pounds may be weighed on a certified warehouse 
scale.
    You have the right, and your mover must inform you of your 
right, to observe all weighing of your shipment. Your mover must 
tell you where and when each weighing will occur. Your mover must 
give you a reasonable opportunity to be present to observe the 
weighing. You may waive your right to observe weighing; however, you 
must waive that right in writing.
    If your shipment is weighed at origin and you believe that the 
weight may not be accurate, you have the right to request that the 
shipment be reweighed before it is unloaded. The mover is not 
permitted to charge you for the reweighing, but the final charges 
due will be based on the reweigh weight, even if it is more than the 
initial weight.
    If you request notification of the actual weight and charges of 
your shipment, your mover must comply with your request if it is 
moving your household goods on a collect-on-delivery basis. This 
requirement is conditioned upon you supplying your mover with 
contact information.

Notification of Delivery

    You must receive the mover's notification at least 24-hours 
before the scheduled delivery, excluding Saturdays, Sundays, and 
Federal holidays.
    Your mover may disregard this 24-hour notification requirement 
on shipments subject to one of the following three situations:
    1. When your mover weighs your shipment at destination.
    2. When pickup and delivery encompasses two consecutive 
weekdays, if you agree.
    3. When the maximum payment at time of delivery is 110 percent 
of the estimated charges, if you agree.

Resolving Disputes With Your Mover

    The FMCSA maintains regulations to govern the processing of loss 
and damage claims; however, we cannot resolve these claims on your 
behalf. If you cannot reach a settlement with your mover, you have 
the right to request arbitration from your mover. All movers are 
required to participate in an arbitration program, and your mover is 
required to provide you with a summary of its arbitration program 
before you sign the bill of lading.
    Arbitration gives you the opportunity to resolve loss or damage 
claims and certain types of disputed charges through a neutral 
arbitrator. You may find submitting your claim to arbitration is a 
less expensive and more convenient way to seek recovery of your 
claim than filing a lawsuit. You are not required to submit to 
arbitration in the event of a dispute. However, if you request 
arbitration for a claim for $10,000 or less, the mover must agree to 
arbitration and the arbitrator's decision is binding on the parties. 
Further, the mover is not required to agree to arbitration if the 
claim exceeds $10,000. If the mover does agree, the arbitrator's 
decision will be binding on both you and the mover.
    You may choose to pursue a civil action in a court of 
appropriate jurisdiction in lieu of arbitration. Legal action may be 
initiated by filing a claim in your State and serving papers on the 
mover's process agent in your State. You may file in State court or 
(if the amount of the claim is more than $10,000) in Federal court. 
You may obtain the mover's process agent information in your State 
by contacting FMCSA at (800) 832-5660. You may also obtain the name 
of the mover's process agent via the internet by following the 
instructions below.
    1. Go to http://li-public.fmcsa.dot.gov.
    2. Scroll to the bottom of the page and click on CONTINUE.
    3. At the top of the screen click on CHOOSE MENU OPTION, for the 
drop-down box and select CARRIER SEARCH, then press GO.
    4. Type in the USDOT or MC number for the motor carrier.
    5. Click on HTML.
    6. Scroll to the bottom of the page, see BLANKET COMPANY, and 
click on the link.
    7. You will see a list of process agents by State, locate the 
process agent for your State.
    The FMCSA cannot settle your dispute with your mover. You must 
resolve your own loss and damage and/or moving charge disputes with 
your mover.
    You entered into a contractual agreement with your mover. 
Therefore, you are bound by each of the following terms and 
conditions:
    1. The terms and conditions you accepted when you signed the 
bill of lading.
    2. The terms and conditions you accepted when you signed for 
delivery of your shipment.
    3. Any additional terms and conditions you agreed to with your 
mover.
    If your mover refuses to deliver your shipment unless you pay an 
amount the mover is not entitled to charge, contact FMCSA 
immediately at (888) 368-7238.

Important Points To Remember

    1. Movers must give written estimates. The estimates may be 
either binding or non-binding. Non-binding estimates are 
``approximations'' only, and the actual transportation charges you 
are eventually required to pay may be higher than the estimated 
price.
    2. Do not sign blank documents. Verify the document is complete 
before you sign. In limited situations, it may be appropriate to 
sign an incomplete document if the only information that does not 
appear in your moving paperwork is the actual weight of your 
shipment (in the case of a non-binding estimate) and unforeseen 
charges that occur in transit or at destination.
    3. Be sure you understand the mover's responsibility for loss or 
damage. For more information see FMCSA's brochure titled, 
``Understanding Valuation and Insurance Options'' https://www.fmcsa.dot.gov/protect-your-move/valuation-insurance.
    4. Understand the type of liability to which you agree. Ask 
yourself if 60 cents per pound is enough coverage for your household 
goods or whether you need to purchase additional valuation.
    5. Notify your mover if you have high value items. High value 
items are valued at more than $100 per pound.
    6. You have the right to be present each time your shipment is 
weighed. You also

[[Page 24454]]

have the right to request a reweigh at no charge.
    7. Confirm with your mover the types of payment acceptable prior 
to the delivery of your shipment.
    8. Consider requesting arbitration to settle disputed claims 
with your mover.
    9. You should know if the company you are dealing with is a 
household goods motor carrier (mover) or household goods broker, and 
if they are registered with FMCSA. Go to www.protectyourmove.gov for 
this information.
    10. Do not sign the delivery receipt if it contains any language 
releasing or discharging your mover or its agents from liability. 
Strike out such language before signing, or refuse delivery if the 
mover refuses to provide a proper delivery receipt.

    Issued under authority delegated in 49 CFR 1.87.
Robin Hutcheson,
Deputy Administrator.
[FR Doc. 2022-08808 Filed 4-25-22; 8:45 am]
BILLING CODE 4910-EX-P


