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Interpretation ID: 5110r

D. E. Dawkins, Acting Director
Automotive Safety Planning and Compliance
Product Strategy and Regulatory Affairs Office
Chrysler Corporation
CIMS 414-01-22
12000 Chrysler Drive
Highland Park, MI 48288-0857

Dear Mr. Dawkins:

This responds to the petition dated September 30, 1991, that Mr. Kittle submitted on behalf of Chrysler Corporation seeking temporary exemption for the TEVan from several Federal motor vehicle safety standards on the basis that the exemption would facilitate the development and field evaluation of low emission motor vehicles.

The petition indicates (page 4) that exemption is sought for four l989 Dodge Caravans, converted to electric power, that "were manufactured for test and evaluation". We understand that this conversion occurred after completion of the manufacture of the vans, and that the conversion was performed by a subsidiary of Chrysler. If an exemption is granted, the petition states that "one or more of the vehicles will be titled and sold for ongoing endurance evaluation." Finally, we understand that the TEvans are currently in the possession of the Electric Power Research Institute in California for evaluation, and that presumably they are being driven on the public roads.

We regret the delay in responding to Mr. Kittle's letter. The petition represents a rare instance in which a manufacturer has petitioned for an exemption for a vehicle whose manufacture has been completed, and which has been in use. The purpose of an exemption is to allow a manufacturer to engage in conduct that would otherwise be prohibited by the National Traffic and Motor Vehicle Safety Act, specifically, the manufacture for sale, sale, offer for sale, or introduction or delivery for introduction, or importation into the United States of a motor vehicle that does not conform to all applicable Federal motor vehicle safety standards, and which does not bear a certification of compliance with those standards.

With respect to the four TEVans for which petition has been made, it appears that they have already been introduced into interstate commerce without a certification of compliance (or, if bearing the certification of the original vehicle, a certification that is false and misleading in a material respect, a further violation of the Act). Any exemption by the Administrator could not cover conduct violative of the Act that has already occurred. However, we have concluded that the Administrator may grant an exemption to vehicles, which would apply to conduct that would violate the Act, but which has not occurred. As Chrysler seeks an exemption in order to sell the TEVans, or to offer them for sale, the Administrator's exemption authority may be exercised to permit Chrysler to do so, after the procedural requirements have been followed.

The petition meets our requirements for form and content, and a notice requesting public comment is being prepared for publication in the Federal Register. We shall notify you when the Administrator has reached a decision.

If you have any questions, you may discuss them with Taylor Vinson of this Office (202-366-5263).

Sincerely,

Paul Jackson Rice Chief Counsel

ref:555 d:3/30/92