
[Federal Register Volume 82, Number 201 (Thursday, October 19, 2017)]
[Notices]
[Pages 48739-48741]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-22660]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration


Petition for Exemption From the Federal Motor Vehicle Motor Theft 
Prevention Standard; General Motors Corporation

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

ACTION: Grant of petition for exemption.

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SUMMARY: This document grants in full General Motors Corporation's (GM) 
petition for an exemption of the Cadillac XT4 vehicle line in 
accordance with Exemption from the Theft Prevention Standard. This 
petition is granted because the agency has determined that the 
antitheft device to be placed on the line as standard equipment is 
likely to be as effective in reducing and deterring motor vehicle theft 
as compliance with the parts-marking requirements of the Federal Motor 
Vehicle Theft Prevention Standard (Theft Prevention Standard).

DATES: The exemption granted by this notice is effective beginning with 
the 2019 model year (MY).

FOR FURTHER INFORMATION CONTACT: Hisham Mohamed, Office of 
International Policy, Fuel Economy, and Consumer Standards, NHTSA, W43-
437, 1200 New Jersey Avenue SE., Washington, DC 20590. Mr. Mohamed's 
phone number is (202) 366-0307. His fax number is (202) 493-2990.

SUPPLEMENTARY INFORMATION: In a petition dated May 29, 2017, GM 
requested an exemption from the parts-marking requirements of the Theft 
Prevention Standard for its Cadillac XT4 vehicle line beginning with MY 
2019. The petition requested an exemption from parts-marking pursuant 
to 49 CFR 543, Exemption from Vehicle Theft Prevention Standard, based 
on the installation of an antitheft device as standard equipment for 
the entire vehicle line.
    Under 49 CFR part 543.5(a), a manufacturer may petition NHTSA to 
grant an exemption for one vehicle line per model year. In its 
petition, GM

[[Page 48740]]

provided a detailed description and diagram of the identity, design, 
and location of the components of the antitheft device for the Cadillac 
XT4 vehicle line. GM will install the PASS-Key III+ antitheft device as 
standard equipment on its Cadillac XT4 vehicle line. The PASS-Key III+ 
is a passive, transponder-based, electronic immobilizer device. The 
major components of the antitheft device are a PASS-Key III+ controller 
module, engine control module (ECM), electronically-coded ignition key, 
radio frequency (RF) receiver, immobilizer exciter module, three low 
frequency antennas and a passive antenna module. GM stated that the 
device will provide protection against unauthorized use (i.e., starting 
and engine fueling), but will not provide any visible or audible 
indication of unauthorized vehicle entry (i.e., flashing lights or horn 
alarm). GM stated that the PASS-Key III+ immobilizer device is designed 
to be active at all times without direct intervention by the vehicle 
operator. GM further stated that activation of the device occurs 
immediately after the ignition has been turned off and the key has been 
removed and deactivation of the antitheft device occurs automatically 
when the engine is started. GM stated that the Cadillac XT4 vehicle 
line will be equipped with one of two ignition versions. Specifically, 
the Cadillac XT4 will be equipped with either a keyed or keyless 
ignition version of its PASS-Key III+ immobilizer antitheft device. GM 
also stated that the ``keyed'' ignition version utilizes a special 
ignition key and decoder module and its electrical code must be sensed 
and properly decoded by the controller module before the vehicle can be 
operated. GM further stated that with the ``keyless'' ignition version, 
an electronic key fob performs normal remote keyless entry functions 
and communicates with the vehicle without direct owner intervention. 
Specifically, during operation of the vehicle, when the owner presses 
the engine start/stop switch, the vehicle transmits a randomly 
generated challenge and vehicle identifier within the passenger 
compartment of the vehicle via three low-frequency antennas, controlled 
by the passive antenna module. The electronic key receives the data and 
if the vehicle identifier matches that of the vehicle, the electronic 
key will calculate the response to the vehicle using the challenge and 
secret information shared between the key and the vehicle. The 
electronic key then transmits the response via a radio frequency 
channel to a vehicle mounted receiver, conveying the information to the 
PASS-Key III+ control module. The PASS-Key III+ control module compares 
the received response with an internally calculated response. If the 
values match, the device will allow the vehicle to enter functional 
modes and transmit a fixed code pre-release password to the engine 
controller over the serial data bus, and enable computation and 
communication of a response to any valid challenge received from the 
engine controller. If a valid key is not detected, the device will not 
transmit a fixed code pre-release password to the engine controller 
preventing fuel from being delivered to the engine, enabling starting.
    GM's submission is considered a complete petition as required by 49 
CFR 543.7, in that it meets the general requirements contained in 543.5 
and the specific content requirements of 543.6.
    In addressing the specific content requirements of 543.6, GM 
provided information on the reliability and durability of its proposed 
device. To ensure reliability and durability of the device, GM 
conducted tests based on its own specified standards. GM provided a 
detailed list of the specific tests it used to validate the integrity, 
durability and reliability of the PASS-Key III+ device. Some of the 
tests GM conducted were for high temperature storage, low temperature 
storage, thermal shock, humidity, frost, salt fog, flammability and 
others. GM believes that the device is reliable and durable since the 
components must operate as designed after each test. GM further stated 
that the design and assembly processes of the PASS-Key III+ subsystem 
and components are validated for 10 years of vehicle life and 150,000 
miles of performance.
    GM further stated that the PASS-Key III+ device has been designed 
to enhance the functionality and theft protection provided by its 
first, second and third generation PASS-Key, PASS-Key II, and PASS-Key 
III devices. GM also referenced data provided by the American 
Automobile Manufacturers Association (AAMA) in support of the 
effectiveness of GM's PASS-Key devices in reducing and deterring motor 
vehicle theft. Specifically, GM stated that data which provide the 
basis for GM's confidence that the PASS-Key 111+ system will be 
effective in reducing and deterring motor vehicle theft are contained 
in the response of the American Automobile Manufacturers Association 
(AAMA) to Docket 97-042; Notice I (NHTSA Request for Comments on its 
Preliminary Report to Congress on the Effects of the Anti Car Theft Act 
of 1992 and the Motor Vehicle Theft Law Enforcement Act of 1984). In 
the Report to Congress, AAMA stated the more recent antitheft systems 
are more effective in reducing auto theft. AAMA also cited the Highway 
Loss Data Institute (HLDI) findings on the effectiveness of antitheft 
devices in reducing theft. AAMA noted that vehicles with antitheft 
devices are less likely to be stolen for joyriding or transportation 
and therefore, their recovery rates are lower.
    GM also noted that theft rate data have indicated a decline in 
theft rates for vehicle lines equipped with comparable devices that 
have received full exemptions from the parts-marking requirements. GM 
stated that the theft rate data, as provided by the Federal Bureau of 
Investigation's National Crime Information Center (NCIC) and compiled 
by the agency, show that theft rates are lower for exempted GM models 
equipped with the PASS-Key-like systems than the theft rates for 
earlier models with similar appearance and construction that were 
parts-marked. Based on the performance of the PASS-Key, PASS-Key II, 
and PASS-Key III devices on other GM models, and the advanced 
technology utilized in PASS-Key III+, GM believes that the PASS-Key 
III+ device will be more effective in deterring theft than the parts-
marking requirements of 49 CFR part 541.
    Additionally, GM stated that the model year (MY) 2014 Cadillac CTS 
and SRX theft rates (per 1000 vehicles produced) are below the 1990/
1991 median rate of 3.5826. Specifically, the theft for the MY 2014 
Cadillac CTS is 0.3546 and 0.8481 for the MY 2014 Cadillac SRX vehicle 
line. Since the same antitheft device will be used on the 2019 MY 
Cadillac XT4, GM believes the statistical data indicates that this 
vehicle will also have an acceptable theft rate to obtain an exemption 
from the parts marking requirements of 49 CFR part 541. GM was granted 
an exemption from the parts-marking requirements by the agency for the 
Cadillac CTS vehicle line beginning with MY 2011 (See 74 FR 62385, 
November 27, 2009). The average theft rate for the Cadillac CTS and SRX 
vehicle lines, based on NHTSA's theft rate data, using 3 MYs data (MYs 
2012-2014) are 0.8518 and 0.6020 respectively.
    GM further stated that it believes that PASS-Key III+ devices will 
be more effective in deterring theft than the parts-marking 
requirements and that the agency should find that inclusion of the 
PASS-Key III+ device on the Cadillac XT4 vehicle line is sufficient to 
qualify

[[Page 48741]]

it for full exemption from the parts-marking requirements.
    GM's proposed device lacks an audible or visible alarm. Therefore, 
this device cannot perform one of the functions listed in 49 CFR part 
543.6(a)(3), that is, to call attention to unauthorized attempts to 
enter or move the vehicle. Based on comparison of the reduction in the 
theft rates of Chevrolet Corvettes using a passive antitheft device 
along with an audible/visible alarm system to the reduction in theft 
rates for the Chevrolet Camaro and the Pontiac Firebird models equipped 
with a passive antitheft device without an alarm, GM finds that the 
lack of an alarm or attention-attracting device does not compromise the 
theft deterrent performance of a device such as PASS-Key III+ device. 
In these instances, the agency has concluded that the lack of an 
audible or visible alarm has not prevented these antitheft devices from 
being effective protection against theft.
    Based on the evidence submitted by GM, the agency believes that the 
antitheft device for the Cadillac XT4 vehicle line is likely to be as 
effective in reducing and deterring motor vehicle theft as compliance 
with the parts-marking requirements of the Theft Prevention Standard 
(49 CFR 541).
    Pursuant to 49 U.S.C. 33106 and 49 CFR 543.7(b), the agency grants 
a petition for exemption from the parts-marking requirements of Part 
541, either in whole or in part, if it determines that, based upon 
substantial evidence, the standard equipment antitheft device is likely 
to be as effective in reducing and deterring motor vehicle theft as 
compliance with the parts-marking requirements of Part 541. The agency 
finds that GM has provided adequate reasons for its belief that the 
antitheft device for the Cadillac XT4 vehicle line is likely to be as 
effective in reducing and deterring motor vehicle theft as compliance 
with the parts-marking requirements of the Theft Prevention Standard 
(49 CFR part 541). This conclusion is based on the information GM 
provided about its device.
    The agency concludes that the device will provide four of the five 
types of performance listed in Sec.  543.6(a)(3): Promoting activation; 
preventing defeat or circumvention of the device by unauthorized 
persons; preventing operation of the vehicle by unauthorized entrants; 
and ensuring the reliability and durability of the device.
    For the foregoing reasons, the agency hereby grants in full GM's 
petition for exemption for the Cadillac XT4 vehicle line from the 
parts-marking requirements of 49 CFR part 541, beginning with its model 
year (MY) 2019 vehicles. The agency notes that 49 CFR part 541, 
Appendix A-1, identifies those lines that are exempted from the Theft 
Prevention Standard for a given model year. 49 CFR part 543.7(f) 
contains publication requirements incident to the disposition of all 
Part 543 petitions. Advanced listing, including the release of future 
product nameplates, the beginning model year for which the petition is 
granted and a general description of the antitheft device is necessary 
in order to notify law enforcement agencies of new vehicle lines 
exempted from the parts marking requirements of the Theft Prevention 
Standard.
    If GM decides not to use the exemption for this line, it should 
formally notify the agency. If such a decision is made, the line must 
be fully marked according to the requirements under 49 CFR parts 541.5 
and 541.6 (marking of major component parts and replacement parts).
    NHTSA notes that if GM wishes in the future to modify the device on 
which this exemption is based, the company may have to submit a 
petition to modify the exemption. Part 543.7(d) states that a Part 543 
exemption applies only to vehicles that belong to a line exempted under 
this part and equipped with the antitheft device on which the line's 
exemption is based. Further, Part 543.9(c)(2) provides for the 
submission of petitions ``to modify an exemption to permit the use of 
an antitheft device similar to but differing from the one specified in 
that exemption.''
    The agency wishes to minimize the administrative burden that Part 
543.9(c)(2) could place on exempted vehicle manufacturers and itself. 
The agency did not intend in drafting Part 543 to require the 
submission of a modification petition for every change to the 
components or design of an antitheft device. The significance of many 
such changes could be de minimis. Therefore, NHTSA suggests that if the 
manufacturer contemplates making any changes, the effects of which 
might be characterized as de minimis, it should consult the agency 
before preparing and submitting a petition to modify.

    Issued in Washington, DC, under authority delegated in 49 CFR 
Part 1.95.
Raymond R. Posten,
Associate Administrator for Rulemaking.
[FR Doc. 2017-22660 Filed 10-18-17; 8:45 am]
 BILLING CODE 4910-59-P


